Taiwan Semiconductor Manufacturing Company (TSMC) faces overwhelming demand for its advanced CoWoS packaging technology. This specialized manufacturing process remains critical for high-performance AI chips.
Surging AI-related orders have exceeded TSMC’s total production capacity. This supply gap triggers a spillover of business to competitors, specifically Intel and other Taiwanese packaging firms.
Industry leaders including Apple, Nvidia, and AMD rely heavily on TSMC to sustain the ongoing AI boom. The current capacity crunch provides an opening for rivals to capture market share in the lucrative advanced packaging sector.