Siliconware Precision Industries is moving ahead with a major expansion in Taiwan as global demand for artificial intelligence and high-performance computing continues to accelerate. The company, a subsidiary of ASE Technology Holding, has officially broken ground on a new advanced packaging facility in Douliu, Yunlin County.
The new plant is expected to become a key part of Taiwan’s growing semiconductor supply chain, especially as AI chips, data center processors, and high-performance computing components require more sophisticated packaging solutions. Covering around six hectares, the facility represents a significant commitment to expanding next-generation chip production capacity.
The project carries an estimated investment of about NT$100 billion, equal to roughly US$3.1 billion. Once completed, the plant is expected to support advanced chip packaging technologies, including chip-on-wafer-on-substrate, commonly known as CoWoS. This technology plays an important role in enabling powerful computing chips by integrating multiple components into a compact, high-performance package.
Demand for CoWoS and other advanced packaging methods has risen sharply as AI servers, accelerators, and HPC platforms become more complex. Traditional chip manufacturing alone is no longer enough to meet the performance and efficiency requirements of modern computing. Advanced packaging has become a critical step in improving bandwidth, reducing power consumption, and boosting overall system performance.
The first phase of the Douliu facility is scheduled to begin operations in 2028. When production starts, the plant could help ease pressure on the advanced packaging supply chain, which has become increasingly important for companies developing AI hardware and high-end computing platforms.
The investment also highlights Taiwan’s continued importance in the global semiconductor industry. With major chipmakers and packaging specialists expanding capacity, the island remains central to the production of advanced technologies that power cloud computing, AI development, consumer electronics, and enterprise infrastructure.
For Yunlin County, the new facility is expected to bring long-term industrial development and create opportunities in engineering, manufacturing, operations, and related supply chain services. As semiconductor demand continues to grow worldwide, the Douliu plant could become a major hub for advanced chip packaging in the years ahead.
Siliconware Precision Industries’ latest expansion reflects a broader industry trend: the future of computing depends not only on smaller and faster chips, but also on smarter ways to package and connect them. With AI and high-performance computing driving the next wave of semiconductor growth, investments in advanced packaging capacity are becoming more important than ever.
