NVIDIA Partners with Six Suppliers to Scale AI Infrastructure Capacity
NVIDIA has partnered with six upstream supply chain companies to massively scale its global manufacturing and AI infrastructure capacity through 2028. The agreements utilize multi-billion dollar prepayments and reservation protocols covering substrates, advanced packaging, semiconductor testing, and optical engines. This strategic move addresses critical supply chain bottlenecks in the booming artificial intelligence sector, ensuring that NVIDIA can meet skyrocketing global demand for accelerated computing and AI factory platforms. By securing long-term upstream capacity through 2028, NVIDIA solidifies its dominance in the hardware ecosystem. Key investments include supporting IBIDEN and Unimicron for substrate expansion, partnering with Samsung Electro-Mechanics and Amkor for advanced packaging and interposers, advancing testing capabilities with KYEC via an $1.1 billion prepayment, and boosting CPO optical engine production with SPIL.
## BACKGROUND
Advanced packaging technologies like 2.5D and 3D stacking combine multiple chiplets into a single package to boost AI training performance. Substrates, or IC carriers, act as the foundational base that connects silicon chips to printed circuit boards, requiring high-density innovations to keep pace with modern processor demands.