GlobalFoundries and TSMC Sign $2 Billion U.S. Chip Deal
GlobalFoundries will manufacture silicon interposers for TSMC at its New York facility under a $2 billion agreement to bolster the domestic AI chip supply chain.
GlobalFoundries entered a five-year, $2 billion agreement with TSMC to manufacture silicon interposers at its fabrication facility in Malta, New York. These components are essential for TSMC's CoWoS-S advanced packaging technology, as they enable high-density, high-speed connections between logic chiplets and high-bandwidth memory used in AI and high-performance computing processors.
Under the terms of the deal, GlobalFoundries will act as a subcontractor and expand its manufacturing capacity to meet the demand for advanced packaging, which currently exceeds global supply. The Malta site will become the first U.S.-based source of silicon interposers for these technologies, with volume production scheduled to ramp up in the first half of 2028.
The partnership aims to establish a secure domestic supply chain, potentially allowing TSMC's clients to brand their products as completely made and packaged in America. This initiative complements TSMC's broader U.S. strategy, which includes planned advanced packaging operations in Arizona and a separate 10-year agreement with Amkor Technology to build a facility in Peoria, Arizona.
