Taiwan media: TSMC's CoWoS production capacity will reach 240000 pieces in 2024, and Nvidia will achieve a maximum of 150000 pieces

According to the DigiTimes of Taiwan media, a few months ago, the rapid demand for Nvidia AI GPU led to a serious shortage of advanced packaging capacity of TSMC CoWoS. Recently, Wei Zhejia, president of TSMC, said frankly that he had previously held a conference call with customers to request to expand CoWoS capacity. The equipment manufacturer estimates that TSMC's total CoWoS production capacity will exceed 120000 pieces in 2023, and will increase to 240000 pieces in 2024, of which Nvidia will obtain 144000~150000 pieces.

Last month, TSMC Chairman Liu Deyin stated that TSMC's own advanced packaging capacity has almost doubled since last year, and it is indeed a challenge to double it again from this year to next year. In response to the expansion of CoWoS production capacity for advanced packaging next year, and even moving some of its INFO production capacity to Nanke, TSMC hopes to expand CoWoS production capacity in Longtan. Many plans will be actively promoted, hoping to meet the immediate needs of customers.

TSMC also stated at a recent legal conference that the current bottleneck in AI chip related production capacity is mainly concentrated in the backend CoWoS link. TSMC is closely cooperating with customers to expand production capacity, and it is expected that the production capacity tension of CoWoS will be alleviated by the end of 2024. The CoWoS production capacity in 2024 will reach about twice the level of 2023.

To cope with the problem of insufficient capacity, TSMC recently announced that it plans to spend nearly NT $90 billion to set up an advanced packaging wafer factory in Taiwan, China's Zhuke Causeway Science park. After two months of cross departmental negotiations, the Zhuke Management Bureau recently officially issued a letter agreeing to TSMC's acquisition of approximately 7 hectares of land in the Zhuke Causeway Park. The new factory is expected to be completed by the end of 2026 and mass production will begin in the third quarter of 2027.