Advantest is seeing a spike in demand for its chip-testing devices, catalyzed by the frenzy of interest in OpenAI's ChatGPT and other novel uses of artificial intelligence. A global race to develop powerful computing clusters and next-generation AI-training systems is spurring chipmakers to buy many more of the Tokyo-based company's testing tools, Advantest Co-Chief Strategy Officer Yasuo Mihashi said in an interview. The executive's outlook comes against a backdrop of muted demand for consumer electronics and a U.S.-led campaign to restrict trade of advanced semiconductors to China. Japan said last month it would expand export controls on its chip technology. Still, the AI surge is driving up orders from Nvidia and Advanced Micro Devices, two companies that provide the key AI-training semiconductors and which rely on Advantest as their main testing tools supplier, according to data compiled by Bloomberg.

Tokyo stocks turned sharply higher Monday as sentiment improved thanks to continued advances on Wall Street. The Nikkei average of 225 selected issues on the first section of the Tokyo Stock Exchange soared 521.22 points, or 2.71 percent, to end at 19,783.22, The Topix index of all first-section issues closed up 25.96 points, or 1.83 percent, at 1,447.25. It lost 4.69 points the previous trading day. From the outset, market participants rushed to buy so-called cyclical stocks vulnerable to economic conditions, particularly technology issues such as industrial robot producer Fanuc and chip-testing device manufacturer Advantest.