AI Boom Turns Chip Packaging into Next Semiconductor Battleground

The global race to build AI infrastructure is driving billions of dollars in investment into advanced chip packaging, a critical bottleneck for powerful processors. Companies like Nvidia and AMD are expanding production, and equipment makers are developing new tools as demand for AI chips outstrips current packaging capacity. This shift is crucial as it becomes harder to achieve performance gains solely by shrinking transistors, making advanced packaging essential for AI chips that require rapid data transfer between processors and memory.