IBM to Invest US$730 Million in Canadian Chip Expansion

IBM is making a significant investment in its chip assembly and test facility in Bromont, Quebec, Canada. The move is expected to introduce chiplet on interposer assembly, which could become a standardized way of assembling system-level components.

The investment will be implemented in multiple phases over the next five years, according to a recent report. The IBM Canada plant in Bromont spans 800 acres and currently employs around 1,000 people, making it one of the largest chip assembly and test facilities in North America.

Recently, IBM announced a partnership with the Government of Canada and the Government of Quebec to invest CA$187 million (approximately US$137 million) in advancing research and development at the facility. IBM's senior vice president and director of research, Darío Gil, emphasized the importance of advanced packaging and chiplet technology in meeting the growing demand for compute power in the era of artificial intelligence.

"IBM has long been a leader in semiconductor research and development, pioneering breakthroughs to address future challenges. With the increasing demand for compute power in the age of AI, advanced packaging and chiplet technology are crucial for accelerating AI workloads," said Gil in a statement.

"As one of the largest chip assembly and testing facilities in North America, IBM's Bromont facility will play a central role in shaping the future of semiconductor technology. We are excited to collaborate with the governments of Canada and Quebec to achieve these objectives and foster a more robust semiconductor ecosystem in North America and beyond," he added.