➀ Advanced IC packaging is emerging as a critical area of competition in the semiconductor industry, particularly in the context of US-China technological rivalry. ➁ China has a significant presence and advanced technology in 'back-end' assembly, packaging, and test (APT), making it less susceptible to US sanctions compared to 'front-end' wafer fabrication. ➂ TSMC is expanding its CoWoS packaging capacity to address supply constraints for leading AI processors, while Huawei leverages its own packaging technology to outperform restricted Nvidia chips. ➃ The shift towards Chinese-designed and manufactured ICs is accelerating due to US sanctions and the perceived risk of relying on US-designed chips. ➄ Both the US and China are investing heavily in advanced IC packaging and chiplet technology to gain a competitive edge and reduce dependency on foreign suppliers.