Powertech and Broadcom Invest in Advanced Chip Packaging

Powertech Technology Inc of Taiwan announced a US$400 million joint venture with Broadcom Inc in Singapore to produce advanced package substrates. The companies will focus on additive finer-geometry redistribution layer (RDL) technology, a key component of fan-out panel-level packaging. This technology routes electrical connections beyond the silicon footprint, meeting demand from an international customer.

The move comes as the semiconductor industry faces volatility due to increased competition and questions about the return on AI investments. News of a new Chinese AI model, Kimi K3, has also contributed to market uncertainty.

Separately, ASML Holding NV plans to raise prices on its chipmaking equipment, potentially clashing with major customer Taiwan Semiconductor Manufacturing Co. United Microelectronics Corp also began mass production of silicon photonics wafers in Singapore, collaborating with Silith Technology Pte Ltd to produce a 1.6 terabits per second platform.