TSMC Soars 3.24% on AP8 Plant, Intel Venture

On April 8, 2025, TSMC's stock rose by 3.24% in pre-market trading, indicating a positive market sentiment towards the company's recent developments and strategic initiatives.

TSMC recently held a low-key ceremony for the AP8 advanced packaging plant, marking a significant step in its strategic expansion. The plant, converted from the former Group 4 LCD panel factory in Nanke, is set to become one of the largest advanced packaging facilities globally. This move underscores TSMC's commitment to leveraging existing resources and adapting its industrial layout to meet growing market demands.

The AP8 plant is expected to commence operations by the end of this year, focusing on CoWoS production. This technology integrates logic chips and HBM memory in a 2.5D configuration, addressing the increasing demand for high-performance chips in AI and high-performance computing sectors. TSMC's investment in this advanced packaging technology is poised to strengthen its market position and meet the escalating needs of its clients.

Additionally, TSMC has reached an initial agreement with Intel to form a joint venture for operating Intel's chip manufacturing facilities. This collaboration, which includes TSMC holding a 20% stake in the new company, is seen as a strategic move to address Intel's long-standing challenges and align with the U.S. government's efforts to bolster domestic semiconductor production.