[News] Samsung Boosts 2.5D Packaging Equipment to Compete for TSMC’s CoWoS Orders

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Samsung, the Korean tech giant, has unveiled SAINT technology to counter TSMC’s advanced CoWoS packaging, aiming to benefit from the surging AI market. Market reports reveal that Samsung is strategically procuring a substantial amount of 2.5D packaging equipment, indicating a keen awareness of the soaring demand from AI chip companies like NVIDIA, reported by Korean media The Elec.

Samsung has acquired 16 sets of packaging equipment from the Japanese company Shinkawa. Currently, 7 sets have been received, with the possibility of additional orders based on future requirements. Samsung’s objective is to demonstrate its prowess in packaging and HBM technologies, seeking recognition and partnership with NVIDIA. As the limitations in NVIDIA’s current supply chain, especially due to insufficient CoWoS advanced packaging capacity in TSMC, Samsung emerges as a promising alternative for diverse supply chain.

On the other hand, NVIDIA’s ambitious goal of achieving USD 300 billion in AI sector revenue by 2027 requires a reliable supply chain, as per reported by TechNews. To this end, Samsung is poised to supply its next-gen GPU, Blackwell, featuring HBM3 and 2.5D packaging. This move aligns with NVIDIA’s strategy to diversify its supply chain away from existing providers like TSMC.

For Samsung, this collaboration presents a significant opportunity to enter the thriving AI market. Success in this venture could not only bolster the financial performance of Samsung’s memory and advanced packaging divisions but also open doors to orders from players like AMD and Tesla. However, the key lies in how effectively Samsung meets the formidable market demand, particularly in semiconductor production, advanced packaging, and memory technology.

(Image: Samsung)

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