Murata Evaluates Further MLCC Capacity Expansion as AI Server Demand Rises

Murata Manufacturing is evaluating a broader expansion of its MLCC manufacturing footprint, citing sustained demand from AI servers and AI data centers. The company expects growth in AI-related MLCC demand to continue at least through 2028.

The demand case reflects both a rising number of MLCCs used in each AI server and increased requirements for compact, high-capacitance and heat-resistant components. For AI infrastructure supply chains, these devices are a critical part of server electronics rather than a peripheral component category.

Murata has already announced plans to invest approximately ¥80 billion in MLCC production equipment over the two-year period through the end of fiscal 2027. It also plans to increase MLCC production capacity by more than 20% in fiscal 2027.

Beyond that announced program, the company is conducting an internal assessment of further capacity additions over the next three to five years. One option under consideration is construction of larger new factory buildings at existing sites in Japan and overseas. No decision has been made on that subsequent expansion.

The assessment suggests that AI-data-center demand could increasingly affect passive-component supply chains as well as the markets for accelerators and servers. If AI-server shipments continue to rise, additional MLCC capacity could reduce component-availability risk; however, the scale, timing, CAPEX and locations of any post-fiscal-2027 expansion have not been disclosed.