GlobalFoundries signs $2bn, five-year deal with TSMC for production of advanced packaging components

GlobalFoundries announced a five-year, $2 billion deal with TSMC to manufacture silicon interposers, causing its shares to rise 7%. The interposers, crucial for AI hardware, will be produced in Malta, New York, with volume production starting in 2028. The agreement includes a framework for future capacity expansion.

GlobalFoundries and TSMC signed a $2B, 5-year deal for U.S. production of silicon interposers for TSMC's CoWoS advanced packaging. Production will start in 2028 at GlobalFoundries' NY facility, aiding TSMC's U.S. supply chain for AI and HPC processors. The agreement may free up TSMC's resources and strengthen domestic semiconductor manufacturing.

GlobalFoundries (GFS) secured a $2B, five-year deal with TSMC (TSM) to produce AI chip packaging components in the U.S. Shares rose 6% on the news. TSMC reported record Q3 revenue of $46.7B, up 50% YoY. GlobalFoundries expects earnings growth in its next report.

GlobalFoundries and TSMC agreed on a $2B, five-year deal to manufacture silicon interposers in Malta, NY. Production will start in early 2028, addressing AI chip packaging demand. The deal includes embedded deep trench capacitor components and allows for future capacity expansion, according to GlobalFoundries.

Shares of Oracle, Microsoft, AMD, and others fell after the Financial Times reported OpenAI's annualized revenue is $20B less than previously signaled. OpenAI reportedly stated $50B in revenue, down from $70B. Chip suppliers like AMD and Broadcom also saw declines. OpenAI declined to comment. Investors anticipate Anthropic's IPO in November and OpenAI's next year.

GlobalFoundries (GFS) signed a $2B, five-year deal with TSMC (TSM) to produce silicon interposers in New York. GFS stock rose 5.2% before retreating to $48.03. Revenue is expected to grow to $7.3B in 2026, with a forward P/E of 24.5x. Analysts are neutral, and Q3 earnings are due Nov 4, 2026.