TSMC is accelerating the mass production of panel-level packaging (PLP) technology to challenge Samsung Electronics. The company aims to begin mass production as early as next year. This initiative focuses on improving production efficiency for high-demand AI chips.

TSMC is currently building a dedicated supply chain for materials, components, and equipment. PLP technology utilizes rectangular panels rather than traditional round wafers. This shift reduces manufacturing waste and increases the total chip yield per unit.

Samsung has maintained leadership in the PLP market since 2019. TSMC targets a larger share of the advanced packaging market essential for high-performance computing. Reports indicate TSMC has already secured a global AI chip customer for this new process.