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AMD plans a larger 2027 chip supply with Taiwanese partners

AMD is working with Taiwanese suppliers to expand chip capacity in 2027 as demand continues to exceed supply. Lisa Su’s visit covers advanced wafer production, packaging and substrates, with planning now stretching three to five years ahead. The company has not disclosed the size of next year’s increase or a new investment total.

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A circular silicon wafer rests in a metal automated carrier in front of bright cleanroom machinery.

AMD seeks more capacity across its Taiwan supply chain

AMD, the processor and graphics-chip designer, plans a substantial increase in chip supply in 2027. AMD CEO Lisa Su discussed the expansion during her Taiwan visit, saying demand remained above supply despite the company’s capacity increase during 2026. The visit concerns the suppliers needed to produce more CPUs, GPUs and other AI computing products.[1], [2]

The supply plan covers advanced wafers, backend manufacturing and substrates together. Su has not given a percentage increase or processor count for 2027. The company’s earlier planning horizon of one or two years now stretches three to five years, allowing capacity in different parts of the supply chain to become available at the same time.[1]

Advanced packaging remains a supply constraint

Su described a need for more advanced wafer capacity from TSMC, Taiwan’s semiconductor manufacturer. She said its Arizona facility had performed well for AMD and wanted more capacity worldwide. Asked about Powertech Technology’s panel-level packaging as an alternative to constrained CoWoS capacity, she emphasized continuing work on packaging innovation across suppliers.[1]

Earlier packaging commitments extend into next year

Powertech said in July that it planned to begin shipping panel-packaged AI chips for AMD in the second half of next year. AMD had announced a 10 billion dollar commitment in May to secure advanced packaging capacity over three years. Su said rising demand would bring additional investment in Taiwanese partners, without specifying a revised amount.[1]

References

  1. News sourceTaipei TimesAMD targets a substantial 2027 supply increase with Taiwanese partners↩1↩2↩3↩4
  2. News sourceThe Next WebAMD plans a substantial chip supply increase in 2027↩
AI safety and regulationChip wars and the supply chain

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