Taiwan-based microcontroller supplier ARTERY Technology is sharpening its focus on edge artificial intelligence and drone-related applications as it prepares for a planned listing on the Taipei Exchange in late January 2026, seeking growth beyond China's crowded MCU market.
The company is concentrating on 32-bit microcontrollers for midrange and high-end uses, targeting applications such as service robots, drones, and gaming hardware. Chairman Steve Wang said ARTERY has intentionally avoided the most price-sensitive segments of China's MCU market, where intense competition has compressed margins, opting instead to pursue performance-driven applications that require higher reliability and computing capability.
Competitive pressure in MCUs
Speaking at a media briefing on December 29, Wang said ARTERY positioned itself around 32-bit MCUs from its founding to differentiate from lower-end suppliers. He cited ongoing competition from global incumbents, including STMicroelectronics and NXP Semiconductors, while arguing that demand for higher-performance controllers continues to expand as applications grow more complex.
ARTERY was founded in 2016 and operates research and development, sales, and technical support teams across Taiwan and several major Chinese cities, according to company president Steve Lin. Its MCUs are used in industrial motor control, consumer electronics, power management, commercial equipment, and automotive systems.
Industry estimates project the global MCU market to grow at a compound annual rate of about 13% from 2025 to 2033, with 32-bit products accounting for more than half of total demand, making them the dominant architecture.
Edge AI roadmap
ARTERY's current products are primarily built on 55nm and 40nm process nodes. Lin said the company is developing 28nm products to address edge AI workloads, citing limits on network bandwidth, latency, data privacy, and connectivity that favor local processing. He said higher-performance MCUs paired with neural processing capabilities are becoming necessary to support edge inference.
Industrial motor control remains the company's largest segment, accounting for about 40% of shipments. Consumer products, including drones, represent 27%, while commercial applications account for 12%. Medical, IoT, communications, and automotive uses make up the remaining 20%.
Financials and market exposure
Wang said ARTERY's strategy for 2026 is to broaden its customer base while deepening its presence in niche markets such as service robots, drones, and gaming-related applications. He said the company has already secured design wins in these areas and expects double-digit growth momentum in 2026.
ARTERY reported revenue of NT$1.64 billion (approx. US$50 million) in 2024, with a gross margin of 30% and net profit of NT$85 million. In the first three quarters of 2025, revenue reached NT$1.23 billion, gross margin rose to 34%, and net profit totaled NT$71 million.
To meet customer requirements for localized production, the company maintains supply chains in both Taiwan and China. China currently accounts for about 90% of revenue, with Taiwan and other overseas markets contributing the remaining 10%. The overseas share is expected to rise gradually.
Looking ahead, ARTERY said it will focus on expanding its full MCU lineup from M0 to M85 cores to build a highly compatible ecosystem, moving into customized ASIC services based on specialized MCUs, and collaborating with United Microelectronics Corporation and Faraday Technology to develop an edge AI inference platform using 28nm embedded flash technology. The company said the initiatives are aimed at positioning it for the next phase of edge AI deployment.
Steve Wang, chairman of ARTERY Technology. Credit: DIGITIMES
Article edited by Jack Wu
