TSMC's CoWoS packaging capacity reportedly stretched due to AI demand — Intel's EMIB and Foveros eyed as potential solution to bottleneck

TSMC's CoWoS packaging capacity is strained due to high demand from AI giants like Nvidia and AMD, leading other chipmakers to consider Intel's EMIB and Foveros as alternative packaging solutions. While CoWoS is technically superior, Intel is gaining interest from firms seeking faster production routes or facing restrictions accessing CoWoS. Intel's EMIB and Foveros technologies offer cost-effective and efficient alternatives to CoWoS, attracting interest from companies like MediaTek and Marvell. The industry is shifting towards a split front-end/back-end workflow, with chips potentially being routed to U.S.-based packaging facilities like Intel's Rio Rancho site. Intel's packaging solutions are seen as a viable option to address the current packaging capacity imbalance until TSMC expands its capabilities by 2027.