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TSMC Ramps Up AI Chip Packaging in Taiwan
13 Jul
Summary
- TSMC is building two new advanced chip packaging facilities in Taiwan.
- The expansion project is expected to generate over $9.35 billion annually.
- New plants aim to ease bottlenecks for growing AI chip demand.
Taiwan Semiconductor Manufacturing Co. (TSMC) is bolstering its advanced chip packaging capabilities with the construction of two additional facilities at the Chiayi Science Park in southern Taiwan. These new plants, the third and fourth in the Chiayi expansion, are set to enhance TSMC's capacity for next-generation semiconductor technologies.
The company's first advanced packaging plant at the park is already in mass production, with the second facility soon to commence commercial operations. Together, the four-plant complex is anticipated to yield over T$300 billion ($9.35 billion) in annual production value and establish over 9,000 jobs upon full operational status.
This strategic expansion addresses the increasing demand for AI processors, driven by clients such as Nvidia. TSMC's investment in advanced packaging, including its chip-on-wafer-on-substrate (CoWoS) technology, aims to alleviate current packaging bottlenecks. These bottlenecks have emerged as a significant constraint in the semiconductor industry due to booming artificial intelligence workloads.
