Advanced Semiconductor Engineering (ASE) launched 15 expansion projects and targets FOPLP mass production by end-2026 for advanced HBM packaging.

As TSMC accelerates development of CoPoS (Chip-on-Panel-on-Substrate), Taiwan OSAT leader ASE is making steady progress in fan-out panel-level packaging (FOPLP). According to COO Tien Wu at the June 24 shareholders' meeting, ASE's first fully automated high-volume production line for FOPLP is expected to enter mass production by end-2026. Customer alignment, equipment installation, and qualification processes are all progressing smoothly, with ASE aiming to announce a formal milestone at its end-2026 or early-2027 earnings call.

Amid surging demand for advanced packaging, ASE is stepping up its expansion efforts. The company and its subsidiary SPIL plan to launch around 15 new fab and expansion projects this year, targeting demand beyond 2029–2030 and the ongoing AI-driven cycle while aiming to avoid past capacity bottlenecks.

The company's capital expenditure is accelerating accordingly. Capex has increased from approximately US$2 billion to US$5.3 billion last year, and further to US$8.5 billion this year, with additional upside potential. Wu noted that ASE's capital expenditure is expected to remain elevated in 2027.

ASE is also expanding rapidly overseas. The company continues to expand in the U.S., including two long-established test and R&D centers in California, with plans for a third and fourth. In Arizona, projects tied to TSMC and U.S. customers are also progressing.

Looking ahead, Wu said the company expects steady revenue growth this year, with advanced packaging revenue projected to double from 2025 levels, driven by robust AI-related semiconductor demand.