Advanced chip packaging: AI's next supply crisis

Nvidia has secured most of TSMC's cutting-edge packaging capacity, spotlighting a lesser-known but critical step in chipmaking that could become the next major bottleneck for AI development. While attention has focused on chip design and fabrication, advanced packaging, which connects multiple chips into a single powerful unit, remains heavily concentrated in Taiwan. Even chips made in the U.S. must travel there for this final step, raising concerns about supply chain vulnerability.