The market is underestimating one corner of artificial intelligence, according to Morgan Stanley. That's advanced packaging in semiconductors, which consists of technologies that package integrated circuits to "increase functionality, high performance and form the foundation for more powerful and more efficient AI chips" — the last step in semiconductor manufacturing, after design and fabrication, the bank explained.
The bank noted the company has plans to build an advanced packaging and testing facility in Arizona – which will then package and test chips produced for Apple at the nearby TSMC facility. "Amkor intends to build out more than 500,000sf of clean room space with manufacturing targeted to be ready for production within the next 2-3 years," said Morgan Stanley, referring to a type of highly controlled environment to make semiconductors.
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