UAE-backed semiconductor manufacturer GlobalFoundries has announced a $2 billion deal with Taiwan Semiconductor Manufacturing Company to bolster US chip manufacturing.
GlobalFoundries, based in New York, said it would be supplying TSMC with silicon interposers, which help chips communicate on logic boards.
Interposers are increasingly important as artificial intelligence creates unprecedented demand for semiconductors.
“Advanced packaging is becoming increasingly critical to delivering the performance, power efficiency and scale required for next-generation AI systems,” said Ed Kaste, a senior vice president at GlobalFoundries.
“By providing manufacturing services using GlobalFoundries' trusted US manufacturing footprint, we are creating a secure, scalable source of essential advanced-packaging elements that will help customers accelerate innovation and strengthen the semiconductor supply chain.”
GlobalFoundries said large-scale production of silicon interposers is expected at the start of 2028. “The agreement provides a foundation to expand capacity over time as customer demand grows,” the company's press release said.
TSMC is one of the world's largest chip makers. Last year, President Donald Trump announced the Taiwan-based company would be investing at least $100 billion in the US to bolster manufacturing and research.
Semiconductor manufacturing is fast becoming a major asset, as the US and China compete to exert influence in the AI sector.
At the time of the announcement, Mr Trump said, alongside TSMC chief executive CC Wei: “This is a tremendous thing for our country and hopefully his company. The most powerful AI chips in the world will be built right here in America and it will be a big percentage of those chips made by his company.”
GlobalFoundries is owned in part by Abu Dhabi’s sovereign fund, Mubadala Investment Company.
