Reports indicate that, propelled by the burgeoning demand for artificial intelligence (AI) technologies and the tight capacity within the semiconductor supply chain, TSMC is planning to implement a price increase of up to 20% for its advanced chip packaging services. Wafer foundries and packaging and testing firms, with TSMC being a prominent example, are gearing up for a fresh wave of price escalations. They are preparing to elevate the pricing for CoWoS packaging—a technology widely employed in high-end AI processors—by a range of 10% to 20%. Presently, the demand for CoWoS packaging has broadened its scope, extending from graphics processing units (GPUs) to encompass server central processing units (CPUs) and custom application-specific integrated circuits (ASICs). Concurrently, the prolonged testing cycles associated with AI chips have exacerbated the strain on packaging and testing capacities, further amplifying the supply-side challenges.