It turns out that Ajinomoto holds a 100% global market share in the semiconductor material 'ABF,' and it has also been revealed that investment funds are demanding a price increase for ABF.



Ajinomoto is a company famous for its eponymous seasoning, but it also manufactures '

Ajinomoto Build-Up Film (ABF) ,' a semiconductor material. Regarding Ajinomoto, the British investment fund Palliser Capital has announced the ' Ajinomoto Value Enhancement Plan .'

Palliser Capital announces Ajinomoto value enhancement plan.
https://www.businesswire.com/news/home/20260331071448/ja



Is MSG Maker Ajinomoto Sitting on an AI Goldmine? This Investor Thinks So - WSJ
https://www.wsj.com/business/is-msg-maker-ajinomoto-sitting-on-an-ai-goldmine-this-investor-thinks-so-4a054b58

Palliser Capital focused not on Ajinomoto's food business, but on 'ABF,' a semiconductor material manufactured by Ajinomoto. ABF is used as an insulating material in semiconductors and holds a nearly 100% global market share as an interlayer insulating material.



Pariser Capital pointed out that 'Ajinomoto has the power to draw more money from its customers, but it hasn't significantly raised its prices.' They argued that Ajinomoto is missing out on significant opportunities as 'the least profitable monopoly in AI infrastructure.'

The price of ABF accounts for less than 0.1% of the total price of products manufactured using ABF, and Pariser Capital is

proposing a price increase of more than 30%, arguing that 'raising the price of ABF would not significantly change the burden on customers.'



While traditional Japanese manufacturing companies tend not to raise prices unless problems such as material shortages or rising production costs arise, the supply of ABF (Ajinomoto's artificial flavoring) could become insufficient as demand for advanced AI chips increases. Jukan Choe, an analyst at Citrini Research, analyzed that 'if semiconductor companies begin consuming ABF at a pace that exceeds Ajinomoto's production, Ajinomoto will inevitably have to raise prices.'

Furthermore, Palliser Capital has proposed a similar value-enhancing plan to TOTO, a manufacturer of specialized ceramic materials used in cutting-edge chip manufacturing.

Pariser Capital announces TOTO value enhancement plan.

https://www.businesswire.com/news/home/20260217926336/ja

TOTO manufactures 'electrostatic chucks' for cryogenic dielectric etching equipment. According to Palliser Capital, demand for electrostatic chucks increases with the thickness of the chip layers, and the combination of increased chip layers and increased demand for the chips themselves suggests significant growth potential.



Pariser Capital analyzes that TOTO's value will increase by highlighting the growth of its electrostatic chuck business, focusing investments in the electrostatic chuck business, and increasing debt to boost earnings per share.

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in Hardware, Posted by log1d_ts