CoWoS Pricing Tops $10,000, Becoming Key Driver of TSMC's AI Profits

TSMC's CoWoS technology integrates computing chips with high-bandwidth memory and is crucial to boosting the performance of AI accelerators from companies such as NVIDIA. Surging demand for AI chips has transformed advanced packaging from a traditionally low-margin assembly and testing segment into a high-value competitive market central to delivery capacity and profitability.

As of July 20, 2026, the average price of a CoWoS wafer had exceeded $10,000, making the technology a new profit engine for TSMC's AI business. TSMC is expanding CoWoS capacity and investing in SoIC and silicon photonics, while Intel is seeking market share with its EMIB packaging technology.