TSMC is constructing Advanced Packaging and Testing Plant 7 (AP7) in Chiayi, Taiwan, which is designated as a hub for its next-generation Chip-on-Panel-on-Substrate (CoPoS) technology. This move shifts advanced packaging from circular wafers to square panels to improve area utilization for AI and HPC chips. The supply chain for CoPoS equipment reportedly includes international giants like KLA, TEL, and Applied Materials, alongside several Taiwanese firms.