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Teradyne Faces A $250 Billion WFE Tipping Point — Is ATE Entering A New Cycle?

Teradyne reported record second-quarter 2026 revenue exceeding $1.3 billion, marking a year-over-year increase of more than 100%, driven substantially by demand related to artificial intelligence (AI). Non-GAAP earnings per share grew over 300% year-over-year to $2.47. Growth was broad-based, spanning all three of the company’s business segments: Semiconductor Test (Semi Test), Product Test, and Robotics. The Semi Test segment surpassed $1 billion in revenue for the second consecutive quarter, with a 128% increase from the prior year, led by strong system-on-chip (SOC) compute product sales and robust memory testing—particularly in high-bandwidth memory (HBM) and DRAM—with the Industrial Storage Test (IST) group also contributing significant growth. Product Test revenue grew 26% year-over-year, paced by emerging solutions in optical and high-speed interconnect testing critical for AI data center build-out. Robotics revenue rose 33% year-over-year, supported by increasing sales tied to electronics manufacturing and semiconductor applications, including those related to AI.