This report finds that shipment value of the Taiwanese IC packaging and testing industry arrived over USD 3.4 billion in the first quarter of 2019, down both year-on-year and sequentially. While the demand for smartphones is likely to persist, HPC (High Performance Computing) and AI applications are expected to be major growth drivers to bolster high-end wafer-level packaging service demand thus the industry is anticipated to have grown about 8% in 2018 compared to 2017. Amid the slowdown in shipment growth in the first quarter of 2019, the industry is anticipated to have seen a modest pickup in shipmentsin the second quarter of 2019.