Nvidia Seeks Scarce Glass Cloth for AI Packaging

• Glass Cloth (T-glass fabric): Low-CTE (~3-5 ppm/°C) glass fiber fabric for substrates, prevents warpage in advanced packaging, superior signal integrity and thermal stability vs. organic materials.[2][3][4][5]
• Advantages: Ultra-low warpage (<20μm over 100mm panel), matches silicon CTE for reliable solder bumps, enables high interconnect density in 2.5D/3D HBM stacks.[1][2][3]
• Challenges: Brittle material prone to microscopic cracks propagating under thermal stress; requires new defect modes handling, factory automation overhaul; initial yields 75-85% vs. 95%+ for organic.[1][2]
• Panel Transition: From 300mm to larger 515mm x 510mm for economies of scale; uses high-density Through-Glass Via (TGV).[1][2]
• Applications: Essential for AI chiplets into super-chips, HBM in GPUs like Nvidia/AMD accelerators.[3][5]

Glass cloth shortages bottleneck AI supply chains into 2026, raising substrate prices and favoring large firms like Nvidia/AMD with long-term contracts; accelerates global competition with Taiwan/Japan expansions, US re-shoring, and China entry, potentially capturing 30% advanced packaging market while exposing reliability risks.[1][2][3][4][5]