Key Findings: AI Demand Drives “Golden Age” of Advanced Packaging, with Amkor-TSMC Partnership and ASE Factory Expansions Significantly Boosting Capacity
The year 2026 has witnessed the semiconductor packaging and test industry enter a “golden age” of massive investment and expansion, largely propelled by the explosive growth in demand for Artificial Intelligence (AI). This trend is clearly demonstrated by strategic partnerships and unprecedented factory expansion plans from key industry players. Notably, Amkor has entered into a 10-year long-term cooperation agreement with TSMC, the world’s largest foundry, to provide CoWoS (Chip-on-Wafer-on-Substrate) packaging and test capacity in the United States, thereby strengthening the domestic “advanced wafer manufacturing-packaging and test” supply chain.
Technical & Business Details
- The Importance of CoWoS Technology: CoWoS is a critical 2.5D/3D advanced packaging technology indispensable for high-performance AI/HPC (High-Performance Computing) chips. It enables the integration of multiple chiplets (e.g., CPU, GPU, High-Bandwidth Memory HBM) onto a silicon interposer, facilitating faster inter-chip communication and improved power efficiency. Amkor’s investment in this technology and its collaboration with TSMC are paramount in addressing the performance bottlenecks of AI chips.
- ASE’s Global Expansion: Advanced Semiconductor Engineering (ASE), the world’s largest independent outsourced semiconductor assembly and test (OSAT) provider, is also embarking on its largest factory expansion cycle to date in 2026. The company plans to construct a total of six new packaging facilities globally, underscoring the urgency across the industry to augment production capacity in response to soaring AI chip demand.
- Strengthening Regional Supply Chains: The partnership between Amkor and TSMC aligns with the broader objective of mitigating geopolitical risks associated with semiconductor supply chain concentration and enhancing domestic advanced packaging capabilities in the U.S. This reflects the increasing importance of geopolitical considerations and supply chain resilience.
Background & Industry Context
The increasing complexity and scale of AI models are placing unprecedented demands on conventional semiconductor manufacturing processes and packaging technologies. As the limits of Moore’s Law become apparent, advanced packaging is emerging as a “More than Moore” solution, serving as a key technological enabler for the continuous improvement of chip performance. Consequently, there is a growing demand for higher-performance and more power-efficient semiconductors across data centers, edge AI, and autonomous driving applications.
Strategic Significance & Outlook
These large-scale investments and collaborations by major players like Amkor, TSMC, and ASE are set to drive significant innovation and a dramatic increase in production capacity for advanced packaging technologies, further accelerating the development of AI chips. This will enable further advancements in AI, enhanced data processing capabilities, and the realization of new technological applications. From an adhesives and sealants perspective, a dramatic increase in demand is anticipated for higher-performance and more diverse material solutions to ensure thermal management, electrical performance, and mechanical reliability in these ultra-high-density packages.
Source: https://eu.36kr.com/en/p/3899029791623044
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