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NVIDIA said new substrate, packaging, testing and optical-engine capacity deals are aimed at supporting AI infrastructure growth through 2028.
NVIDIA said on October 21, 2026, that it is expanding manufacturing capacity with several supply chain partners to support demand for its accelerated computing and full-stack AI factory platform, with agreements spanning substrates, advanced packaging, testing and optical engines. The company said the program is intended to increase resiliency and redundancy across its global supply chain.
Evidence and context
In the announcement from GTC Berlin, NVIDIA said substrate agreements with IBIDEN, Samsung Electro-Mechanics and Unimicron Technology Corporation will, in aggregate, drive a 2.5x increase in capacity over the next three years. The company also said Amkor plans to increase advanced packaging capacity by more than 300% by the end of 2028, while SPIL is targeting a 15x increase in optical-engine capacity for co-packaged optics by mid-2027, with plans for another doubling by the end of 2028.
NVIDIA said it is providing a multibillion-dollar capacity reservation advance to IBIDEN to support the Ono Plant in Japan, where additional capacity is expected to begin ramping in the first quarter of 2028. The company said Samsung Electro-Mechanics is joining its substrate supply chain with immediate capacity from existing operations in South Korea, alongside planned facility upgrades and new factories in Sejong and Busan. NVIDIA said its support for Unimicron’s KF substrate manufacturing expansion in Taiwan is expected to start adding capacity in the second quarter of 2027 and reach full capacity by mid-2028.
On testing, NVIDIA said total semiconductor testing capacity is expected to double from calendar 2026 to 2027, supported by buildouts in the U.S., Taiwan and Singapore. The company said its $1.1 billion capacity reservation advance to KYEC will support new U.S. testing facilities and equipment, with high-volume production targeted for April 2027. It also said expanded testing operations in Singapore are expected to begin high-volume production in February 2027.
For advanced packaging, NVIDIA and Amkor said they plan to expand capacity in South Korea, with the goal of increasing interposer wafer capacity by more than 300% by the end of 2028. The company said the expansion, along with new manufacturing facilities in South Korea, is intended to support current and next-generation platforms.
The announcement comes alongside other NVIDIA infrastructure updates on October 21, 2026, including the general availability of NVIDIA Vera Rubin Infrastructure and an expansion of confidential computing for frontier model builders. As of 2026-10-21T12:21:02Z, NVIDIA’s shares were priced at $216.47, down 0.35% on the day, with a market value of $5,256.97 billion, according to the supplied market data.
The company described the broader effort as part of a larger AI infrastructure buildout, but the source material does not provide independent capacity verification or customer demand data beyond NVIDIA’s own statements. The timing of any further catalyst beyond the stated production milestones remains unknown.
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