Semiconductors - Asia-Pacific: AI semis update: Stronger CoWoS capacity add in 2027 for CPU/ASIC demand upside

Research evidence excerpt

Semiconductors - Asia-Pacific: AI semis update: Stronger CoWoS capacity add in 2027 for CPU/ASIC demand upside

Exhibit 4: Industry CoWoS-R/L supply/demand Exhibit 5: Industry CoWoS-S wafer supply/demand

CoWoS-R/L utilization should remain high as Blackwell and Rubin ramps CoWoS-S could see utilization fluctuation as Nvidia moves to CoWoS-L

Industry CoWoS-R/L wafer CoWoS-R/L utilization Industry CoWoS-S wafer CoWoS-S utilization

supply/demand (k WPQ) supply/demand (k WPQ)

800 160% 200 100%

180 90%700 140%

160 80%

600 120% 140 70%

500 100% 120 60%

400 80% 100 50%

80 40%300 60%

60 30%

200 40% 40 20%

100 20% 20 10%

0 0% 0 0%

3Q24 1Q25 3Q25 1Q26 3Q26 1Q27 3Q27 1Q28 3Q28

Industry CoWoS-R/L wafer demand Industry CoWoS-S wafer demand

Industry CoWoS-R/L wafer capacity Industry CoWoS-S wafer capacity

Industry CoWoS-R/L utilization Industry CoWoS-S utilization

Source: BofA Global Research estimates Source: BofA Global Research estimates

BofA GLOBAL RESEARCH BofA GLOBAL RESEARCH

Exhibit 6: Terms and definitions

Glossary of abbreviations/acronyms

Term Definition

AI Artificial Intelligence

ASIC Application Specific Integrated Circuit

CMP Chemical-Mechanical Polishing

CoPos Chip-on-Panel-on-Substrate

CoWoS Chip-on-Wafer-on-Substrate

CPU Central Processing Unit

GPU Graphic Processing Unit

HPC High-Performance Computing

IDM Integrated Device Manufacturer

InFO Integrated fan-Out

OSAT Outsourced Semiconductor Assembly and Test

TAM Total Addressable Market

WMCM Wafer-level-multi-chip-module

WPM Wafer per month

WPQ Wafer per quarter

WPY Wafer per year

Source: BofA Global Research

BofA GLOBAL RESEARCH

Exhibit 8: Stocks mentioned

Prices and ratings for stocks mentioned in this report

BofA Ticker Bloomberg ticker Company name Price Rating

ALCPF 3661 TT Alchip NT$ 4600 C-1-7