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Intel is going all-in on advanced chip packaging

Intel is heavily investing in advanced chip packaging technology, reviving a dormant New Mexico fab with CHIPS Act funding to compete with TSMC. The company sees packaging as a key differentiator in the AI era, expecting significant revenue growth from this segment. This strategy aims to capture more of the custom chip market driven by AI computing demands.

Background

Advanced packaging allows combining multiple chiplets into single custom chips, becoming increasingly important for AI and specialized computing. Intel is competing with TSMC in this growing segment.

Source
Ars Technica
Published
Apr 7, 2026 at 05:00 PM
Score
7.0 / 10