SPIL breaks ground on advanced IC packaging, testing plant in Yunlin

Taipei, Aug. 12 (CNA) Siliconware Precision Industries Co. (SPIL) on Tuesday broke ground on a NT$100 billion (US$3.11 billion) Chip-on-Wafer-on-Substrate (CoWoS) plant in Yunlin County to package and test and artificial intelligence (AI) chips.

At a groundbreaking ceremony, SPIL Vice Chairman Chang Yen-chun (張衍均) said the 6-hectare site at Yunlin Technology Industrial Park in Douliu City will complement facilities the company has expanded in Taichung, Changhua, Yunlin and Tainan amid booming demand for AI.

Chang said the first phase of the Douliu plant is scheduled to begin operations in 2028 and the entire investment is expected to create 2,200 new jobs in Yunlin.

The vice chairman added that another SPIL plant in Huwei Township, Yunlin, which was inaugurated in September 2025, had entered commercial production and begun generating profits.

Minister of Economic Affairs Kung Ming-hsin (龔明鑫), meanwhile, told the ceremony that SPIL, a wholly owned subsidiary of ASE Technology Holding Co., was a technological leader.

It was thanks to this, Kung said, that SPIL had become one of the partners in U.S. tech giant Advanced Micro Devices Inc.'s (AMD's) plan to pour more than US$100 billion into Taiwan's AI supply chain ecosystem announced in May.

According to AMD, the project will see it expand partnerships with Taiwanese companies involved in chip packaging, substrates and server manufacturing, including SPIL, ASE Technology, and contract chipmaker Taiwan Semiconductor Manufacturing Co.

On Monday, the board of SPIL approved a plan to conduct a rights issue of up to 809.7 million new shares at NT$20 per share to raise NT$16.19 billion to fund purchases of production materials.

In addition, fellow ASE Technology subsidiary Advanced Semiconductor Engineering Inc. has also announced an 809.7 million share issue to raise NT$16.19 billion.

ASE Technology, the world's largest provider of IC packaging and testing services provider, has said it will subscribe to all of the new shares issued by its two subsidiaries.