Nvidia snaps up capacity for a key part of AI chipmaking, and the U.S. buildout may not be enough to keep up

There’s a new bottleneck in AI chipmaking that almost all happens in Asia right now: advanced packaging. It connects smaller chips together into a larger chip like a GPU. As Nvidia books the majority of capacity, TSMC is building its first U.S. packaging plants and Elon Musk taps Intel for custom chip plans in Texas. CNBC got an exclusive interview with TSMC and toured an Intel packaging plant in Arizona to find out exactly how advanced packaging works and why capacity is ramping up fast.