Intel is expanding its EMIB packaging capabilities by partnering with long-time OSAT partner Amkor. This is a part of Intel's strategy to quickly increase production volumes to meet unexpected market demand. According to ET News, Intel has begun EMIB assembly at Amkor's facility in Incheon, South Korea, to handle the surge in orders from large AI customers. Outsourcing to Amkor allows Intel to boost output immediately, avoiding delays associated with internal expansions. Some of Intel's EMIB capacity might be reserved for its own upcoming products, making the partnership with an external packaging provider advantageous.

This initiative shows just how much of a capacity crunch for advanced heterogeneous packaging is happening right now, as hyperscalers and AI chip companies place large orders for CoWoS and similar services. While TSMC has been a primary choice for many high-density assemblies, growing interest in Intel's EMIB and Foveros options has led partners like MediaTek, Google, Qualcomm, and Tesla to consider alternatives. Although Intel has packaging capabilities in the United States, shifting production to Amkor reduces lead times and positions EMIB as a significant external revenue source ahead of Intel's next process node launches. This builds on the Intel-Amkor partnership announced in late May of this year.