Amid the continued surge in artificial intelligence investments worldwide, Taiwan-based ASE Technology Holding has announced a major capacity expansion plan to support future demand for AI-related semiconductor packaging and testing services.
The company’s Chief Operating Officer, Tien Wu, said ASE is adding 15 new sites in 2026. The expansion includes 6 greenfield facilities for ASE, 7 greenfield sites for its subsidiary Siliconware Precision Industries (SPIL), and additional locations acquired from Innolux Corporation earlier this year.
Wu said the company’s capital expenditure budget remains at $8.5 billion for the year and could exceed that amount if required. He added that the expansion strategy is not only aimed at meeting demand over the next 2 years but is also designed to support growth through 2029 and beyond as AI adoption accelerates across industries.
ASE, the world’s largest semiconductor packaging and testing provider, believes demand for advanced AI chips will continue to grow, creating long-term opportunities for the sector.
The company also highlighted its ongoing investments in the United States. ASE currently operates 2 testing facilities in California and plans to add 2 more factories in the country.
Addressing potential investments in Arizona, Wu said the company is evaluating opportunities linked to customer requirements but is carefully assessing the scope and nature of any future investments.
Last year, Nvidia announced plans to build up to $500 billion worth of AI server infrastructure in the United States with support from several partners, including ASE subsidiary SPIL. However, SPIL has not yet disclosed any specific investment plans related to that initiative.
SPIL remains one of the key packaging suppliers for Nvidia’s AI chips, positioning the company at the center of the rapidly expanding AI hardware ecosystem.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream LinkedIn | The Mainstream Facebook | The Mainstream Youtube | The Mainstream Twitter
About us:
The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.