AMD and Google first customers for TSMC SoIC 3D packaging

Nikkei Asia reports TSMC has secured Google and AMD as the first major customers for its new SoIC 3D packaging technology. SoIC makes it possible to achieve higher performance and better energy efficiency by stacking and linking several different types of chips into one package. Mass production is expected to start in 2022.

Previously, chip packaging was handled by a variety of specialized players, but new 3D packaging technologies reportedly require advanced chip manufacturing expertise as well as a lot of computer simulations to achieve precise stacking. The report says it's a tough nut to crack for traditional packaging providers.

With its SoIC technology, however, TSMC is set to lock its premium customers into its ecosystem for chip packaging as well, a chip packaging expert with knowledge of the developments told Nikkei Asia. This is because customers who need higher-end chips are more willing to test the latest technologies.

"TSMC is of course not trying to replace all traditional chip packaging players, but it aims to serve those premium clients at the very top of the pyramid so those deep-pocketed chip developers like Apple, Google, AMD and Nvidia won't leave TSMC for its competitors," the person said.