TSMC may raise advanced packaging prices by 10%-20%, report says
Taiwan Semiconductor Manufacturing Co. (TSMC) is reportedly preparing to increase prices for its Chip on Wafer on Substrate (CoWoS) advanced packaging process by 10% to 20%. According to a report by Taiwan's China Times on Tuesday, citing supply-chain sources, the potential hike is driven by surging demand for AI chips that is straining production capacity. This move could raise costs for major…
Key points
- TSMC may raise CoWoS packaging prices by 10%-20% due to AI chip demand.
- Monthly CoWoS capacity is expected to exceed 130,000 units in 2026.
- Nvidia and AMD are key customers facing potential cost increases.
The CoWoS technology integrates AI chips with high-bandwidth memory into a single package, a critical component for modern AI hardware. TSMC is expanding its CoWoS capacity to meet this demand, with monthly output expected to exceed 130,000 units in 2026 and reach 200,000 units next year. The company serves major clients such as Broadcom, Qualcomm, and MediaTek.
Financial markets have reacted with mixed sentiment. TSMC stock hit a record high on October 5 but has since declined due to a broader selloff in AI-linked stocks, though it remains up 40.5% year-to-date. Nvidia shares have dropped about 11% from their October 6 record but are still up 16% year-to-date. Retail investors on Stocktwits showed bullish sentiment for Nvidia and AMD, while viewing TSMC more negatively.
Nvidia, Chipmakers Face Higher Costs? TSMC Reportedly Plans Up To 20% Price Hike For Advanced Chip Packaging
finance.yahoo.com · 26 October 2026Loading the full article…
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