---
title: "TSMC Ramps Up AI Chip Packaging While Nvidia Controls Most 2026 Capacity"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/273086292.md"
description: "Taiwan Semiconductor Manufacturing Company (TSMC) is rapidly expanding its advanced chip packaging operations in Taiwan, particularly at its Chiayi AP7 site and Longtan AP3 plant. By the end of 2026, TSMC's CoWoS capacity is expected to reach 125,000 to 130,000 wafers per month. Advanced packaging is projected to increase from 8% of revenue in 2025 to over 10% in 2026, with 10% to 20% of TSMC's $52 billion to $56 billion capital spending for 2026 allocated to packaging and testing. TSMC will open the Chiayi AP7 facility to media on January 22."
datetime: "2026-01-20T12:45:42.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/273086292.md)
  - [en](https://longbridge.com/en/news/273086292.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/273086292.md)
---

> Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/273086292.md) | [繁體中文](https://longbridge.com/zh-HK/news/273086292.md)


# TSMC Ramps Up AI Chip Packaging While Nvidia Controls Most 2026 Capacity

Taiwan Semiconductor Manufacturing Company (TSM) is moving quickly to expand its advanced chip packaging operations in Taiwan, as this work has become just as important as chip manufacturing. The company is adding capacity at its Chiayi AP7 site and upgrading tools at its Longtan AP3 plant, based on reports from TrendForce and local media.

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As a result, industry estimates suggest TSMC's CoWoS capacity could reach about 125,000 to 130,000 wafers per month by the end of 2026. Meanwhile, TSMC plans to open its Chiayi AP7 facility to reporters on January 22, marking the first time this advanced packaging site will be shown to the media.

On its recent earnings call, TSMC Chief Financial Officer Wendell Huang said advanced packaging made up about 8% of the company's revenue in 2025 and should rise above 10% in 2026. He also stated that 10% to 20% of TSMC's planned $52 billion to $56 billion in capital spending for 2026 will go toward packaging, testing, and related work.

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