TSMC is planning to set up an advanced packaging plant at its Arizona location by late 2027 after American customers kept begging for local CoWoS capacity. The company is apparently converting space that was supposed to be another chip fab into a packaging facility instead because clients like NVIDIA are stuck shipping their wafers back to Taiwan just to get them packaged, which is a massive pain.
The Taiwan chipmaker originally wanted to outsource packaging work to American firms like Amkor, but that plan seems dead. Competition from Intel's EMIB and Foveros tech is heating up since companies like Microsoft, Qualcomm, Apple, and Tesla are eyeing Team Blue's services as backup options when TSMC can't keep up with demand.
The Taiwan chipmaker originally wanted to outsource packaging work to American firms like Amkor, but that plan seems dead. Competition from Intel's EMIB and Foveros tech is heating up since companies like Microsoft, Qualcomm, Apple, and Tesla are eyeing Team Blue's services as backup options when TSMC can't keep up with demand.
