TAIPEI, Oct 31 (Reuters) - Taiwan's top chip design

company, MediaTek, expects to earn revenue of billions

of dollars from its AI accelerator ASIC chips by 2027, the chief

executive said on Friday, as the company pushes further into the

data centre business.

Chief Executive Rick Tsai told a quarterly earnings

conference call that MediaTek was on track to generate $1

billion in revenue from its cloud AI chips in 2026 after its

first AI accelerator ASIC project was well executed.

"The first project we generate multiple billions in 2027,"

Tsai said. "And another project we'll start delivering revenue

starting 2028 and beyond."

The total addressable market (TAM) for data center ASIC chip

is now estimated at $50 billion and MediaTek is striving to gain

market share of at least 10 to 15 percent in the next two years,

Tsai added.

On Monday, competitor Qualcomm ( QCOM ) unveiled two

artificial intelligence chips for data centres that will be

available in 2026 and 2027.

MediaTek has partnered with Nvidia ( NVDA ) to co-design the

GB10 Grace Blackwell Superchip used in Nvidia's ( NVDA ) DGX Spark, a

personal AI supercomputer that went on sale this month.

In September, Nvidia ( NVDA ) said it would invest $5

billion in Intel ( INTC ).

Asked whether Nvidia's ( NVDA ) investment in Intel ( INTC ), its rival in

CPUs, would have any impact on MediaTek's future cooperation

with Nvidia ( NVDA ), Tsai said he did not believe the news would affect

the companies' joint efforts on the GB10.

On Friday, MediaTek reported third-quarter revenue of

T$142.1 billion ($4.64 billion), up 7.8% from a year earlier,

while net income was down 0.5% at T$25.5 billion.

MediaTek shares have fallen 7.4% this year, underperforming

a rise of 22.6% in the benchmark index. The stock closed

flat on Friday ahead of its earnings release.

The world's largest contract chipmaker, TSMC,

raised its full-year revenue forecast this month on a bullish

outlook for spending on AI, after posting a record profit that

blew past market estimates.

($1=30.5930 Taiwan dollars)