connectors · AI server No.2
TE Connectivity
The world's largest electrical-connector maker and No.2 (behind Amphenol) in AI-datacenter high-speed interconnect, holding structural demand for as long as rack data stays on copper. As an NVLink backup supplier and a maker of DAC/AEC (active copper cables) it ships 800G AEC, and record orders of $5.1B (book-to-bill 1.10) prove the Data & Networks segment's growth. Data & Networks and Energy make up two-thirds of the industry's next five years of growth, shifting the center of gravity from industrial/transport to AI infrastructure.
TEL Updated Jul 12, 2026 4 AI consumers· 2 recurring
Per the valuechain.wiki graph, TE Connectivity is directly linked to 2 companies (0 supply, 2 revenue relationships) and reaches 38 companies within two hops; the links are backed by 4 dated sources, 1 of them primary filings (as of 2026-07-12).
Financials & Segments
- Total revenue · $5.1B orders (1.10 B/B)
- Customer concentration · No.1 connectors; NVLink backup, 800G AEC.
- Segments · Data & networks (AI connectors) · Industrial/transport
Revenue from
- Server ODMs · industrial · transport (connectors) High confidence
Supplies connectors and cables to server ODMs, industry and transport — the traditional demand axis beyond datacenters; growth shifts to AI infrastructure, but auto and factory connectors underpin the earnings base. - NVIDIA Medium confidence
Supplies NVLink backup and DAC/AEC copper cables to NVIDIA (800G AEC). - Foxconn (Hon Hai) Medium confidence
Connectors/DAC to server ODMs.
Pays to
- manufacturing & capacity expansion (undisclosed) Low confidence
Capex in connector/cable production and AEC/DAC expansion — capacity build-out to absorb 800G high-speed-cable demand, governing cost and lead times (undisclosed). - copper, materials & manufacturing (undisclosed) Low confidence
Purchases of copper and precision materials are the cost core — copper prices and precision-machining yields decide margins, and metal exposure grows as copper cables like AEC take a larger share (suppliers undisclosed).
Value-chain ripple (2 tiers)
Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.
| Company | Chain | '21 | '22 | '23 | '24 | '25 | YTD |
|---|---|---|---|---|---|---|---|
| Dell Technologies | lead2 | +51.2 | -26.6 | +95.9 | +53 | +11.2 | +320.2 |
| Lenovo | lead2 | -4.6 | -20.9 | +36.2 | +18.2 | -0.6 | +269.8 |
| Wiwynn | lead2 | +24.7 | -22.3 | +206.4 | +3.5 | +64.4 | +120.2 |
| ASUSTeK Computer | lead2 | +35.5 | -12.9 | +72 | +41.1 | -14.1 | +119.8 |
| Hewlett Packard Enterprise | lead2 | +37.4 | +4.5 | +9.7 | +29.1 | +15.5 | +118.5 |
| Aurora Innovation | lead2 | · | -89.3 | +261.2 | +44.2 | -39 | +65.1 |
| Gigabyte Technology | lead2 | +82.3 | -3.4 | +173.2 | -15.9 | -4.7 | +60.7 |
| Wistron | lead2 | +7.9 | +9.7 | +272.7 | -1.6 | +22.7 | +57.3 |
| TeraWulf | lead2 | +77.1 | -95.5 | +258.2 | +135.8 | +103 | +43.7 |
| Cloudflare | lead2 | +73 | -65.6 | +84.2 | +29.3 | +83.1 | +41.5 |
| Super Micro | lead2 | +38.8 | +86.8 | +246.2 | +7.2 | -4 | +35.3 |
| SK Telecom | lead2 | +7.9 | -12 | +15.8 | +15.5 | +37.5 | +29.7 |
| Quanta Computer | lead2 | +22.2 | -12.8 | +254.5 | +12.7 | +8.9 | +28.5 |
| Foxconn (Hon Hai) | lead2 | -5.1 | +2.8 | +7.8 | +80.1 | +26.9 | +19.6 |
| IREN | lead2 | · | -92.3 | +472 | +37.3 | +284.6 | +18.3 |
| Mercury Systems | lead2 | -37.5 | -18.7 | -18.3 | +14.8 | +73.8 | +12.9 |
| Amazon | lead2 | +2.4 | -49.6 | +80.9 | +44.4 | +5.2 | +12 |
| Geely Auto | lead2 | -40.8 | -22.9 | -40.3 | +98.5 | +14.5 | +10.2 |
| Tempus AI | lead2 | · | · | · | · | +74.9 | +9.4 |
| General Motors | lead2 | +40.8 | -42.4 | +7.9 | +49.8 | +54.2 | +8.4 |
| Alphabet (Google) | lead2 | +65.3 | -39.1 | +58.3 | +36 | +66 | +8.3 |
| Celestica | lead2 | +37.9 | +1.3 | +159.8 | +215.2 | +220.3 | +5.7 |
| Microsoft | lead2 | +52.5 | -28 | +58.2 | +12.9 | +15.6 | +4 |
| Yum! Brands | lead2 | +30.1 | -6 | +3.9 | +4.7 | +14.9 | +0.6 |
| Meta Platforms | lead2 | +23.1 | -64.2 | +194.1 | +66 | +13.1 | -6.4 |
| Toyota Motor Corporation | lead2 | +58.1 | -13.4 | +63 | +1.8 | +21.8 | -10.8 |
| IonQ | lead2 | · | -79.3 | +259.1 | +237.1 | +7.4 | -11.9 |
| Oracle | lead2 | +36.9 | -4.6 | +30.9 | +60 | +18.1 | -17.8 |
| IBM | lead2 | +16.7 | +10.6 | +21.8 | +39.3 | +38.2 | -19.1 |
| Tesla | lead2 | +49.8 | -65 | +101.7 | +62.5 | +11.4 | -21.3 |
| Alibaba Group | lead2 | -49 | -25.8 | -10.8 | +11.8 | +75.8 | -22 |
| Hyundai Motor Company | lead2 | -16.7 | -4.7 | +16.2 | +12.3 | +158.8 | -22.2 |
| Tencent Holdings Limited | lead2 | -28.6 | -14.2 | -28.7 | +49.8 | +52.1 | -26.1 |
| Rigetti Computing | lead2 | · | -92.9 | +35.1 | +1449.2 | +45.2 | -31.4 |
| Kratos Defense | lead2 | -29.3 | -46.8 | +96.6 | +30 | +187.8 | -37 |
| Baidu | lead2 | · | -8.2 | -23.4 | -13.5 | +74.2 | -37.2 |
| Pony.ai | lead2 | · | · | · | · | +1 | -49.3 |
| NVIDIA | lead1 | +125.5 | -50.3 | +239 | +171.2 | +38.9 | +23.7 |
| TE Connectivity | node | +35.1 | -27.7 | +24.6 | +3.5 | +61.1 | -7.3 |
YTD as of 2026-09-04 · source: Yahoo Finance
TE Connectivity operates across S&P 500, connectors, AI server No.2. It is -7.3% in 2026. The demand side (avg +21.7%) leads the stock (-7.3%), so customer moves come first here. Among connected nodes the furthest ahead is NVIDIA (+23.7%) and the furthest behind is Foxconn (Hon Hai) (+19.6%). If chain logic explains the gap, the laggard is the next propagation candidate; if not, the link itself deserves a second look. Data & Networks and Energy make up two-thirds of the industry's next five years of growth, shifting the center of gravity from industrial/transport to AI infrastructure.
Analysis generated from returns as of 2026-09-04Analyst ratings
Consensus: Buy 2 · Hold 1 · Sell 0 · Avg. target $272 · Price $208.65 (09-04) · Upside +30%