TSMC plans to start sampling its integrated co-packaged optics (CPO) and advanced semiconductor packaging technology in early 2025, aiming to enter the 1.6T optical transmission era by late 2025. The semiconductor giant has successfully trial-produced micro-ring modulators (MRM) with Broadcom using 3-nanometer technology.
The advancement could help resolve communication bottlenecks in artificial intelligence processors. Sources familiar with the matter said Broadcom and Nvidia are likely to be TSMC’s first customers for the new technology.
The development is particularly significant as Nvidia seeks to overcome current limitations in chip-to-chip communication. The company’s existing NVLink 72 technology can only connect 72 GB200 chips, but the new CPO technology could allow for more extensive interconnections in its upcoming GB300 and Rubin architecture chips, expected in late 2025.
Industry experts note that while TSMC has made progress, the CPO module’s packaging process remains complex with low yield rates. This could lead to some optical engine packaging orders being outsourced to other assembly and testing companies.
Signet Scientific Co., led by TSMC’s former co-CEO Chiang Shang-yi, is positioned to capture some of this business, given its expertise in optical communication components and semiconductor packaging, as well as its strong ties with both TSMC and Broadcom.
