TSMC to Significantly Increase CoWoS Manufacturing Capacity

Taiwanese semiconductor manufacturer TSMC (Taiwan Semiconductor Manufacturing Company) is significantly expanding its production capacity for its advanced 2.5D CoWoS packaging technology. The company has set a target of at least 200,000 wafers per month by 2027, a figure widely expected to be a conservative estimate.

TSMC previously indicated that the compound annual growth rate (CAGR) for CoWoS capacity between 2022 and 2027 would exceed 80 percent. Currently, the company is simultaneously expanding capacity across four advanced packaging facilities.

Recent reports suggest that an earlier 2026 goal of 110,000 CoWoS wafers per month has been revised upwards to over 130,000. By the end of 2027, the actual monthly CoWoS production capacity is projected to reach between 240,000 and 260,000 wafers.

However, industry sources indicate that even with a production capacity of 240,000 wafers per month in 2027, TSMC may still struggle to meet the demand from AI XPU customers requiring integrated logic chips and HBM. Consequently, clients are actively exploring alternative solutions from competitors such as ASE, SPIL, Amkor, Intel Foundry Services, and Samsung Foundry.

In terms of technological advancements, a 14x mask size CoWoS 2.5D supporting 20 HBM stacks is slated for production in 2028. A larger version for 24HBM is anticipated by 2029. TSMC is also developing other solutions, including SoW-X and CoPoS, to support ultra-large-scale heterogeneous integration.