Semiconductor packaging and testing factory PowerCheng announced today that in order to expand the production capacity of advanced packaging processes and respond to customer demand for fan-out panel level packages (FOPLP), PowerCheng's board of directors decided to purchase a Hsinchu Science Park factory from AU Optronics, with a total transaction value of NT$6.898 billion.

Licheng's announcement pointed out that the factory is located in the L3C building, Lixing Road, Hsinchu Science Park, with clean rooms and ancillary facilities, and is the company's long-term production and R&D base.

Licheng explained that the global demand for artificial intelligence (AI) computing power is rising, and advanced packaging has become the core key to competition in the semiconductor industry. The purchase of relevant factories by Licheng Technology will accelerate the mass production process of FOPLP advanced packaging to meet the needs of major international customers in the fields of AI, high-performance computing (HPC), and automotive electronics.

Licheng pointed out that it will complete factory renovation, equipment introduction and professional talent recruitment in stages according to the mass production plan, continue to layout and expand advanced packaging production capacity, enhance technical strength, deepen customer service depth, and consolidate its position and competitiveness in the high-end packaging and testing market.

Licheng’s previous corporate briefing revealed that it will actively expand FOPLP production capacity in 2026, with an investment scale of US$1 billion. In order to cooperate with the FOPLP production capacity increase plan, it will suspend the development of new projects for high-bandwidth memory (HBM) and CIS imaging component chip size packaging (CIS CSP) next year. FOPLP production capacity has been reserved for use in graphics processing units (GPUs), high-efficiency computing units (HPUs), and some central processing units (CPUs) required for AI chip platforms.