Tower Semiconductor announced a new 300‑mm wafer‑bonding 3D‑IC platform that fuses its Silicon Photonics (SiPho) and Silicon Germanium (SiGe) BiCMOS processes on a single wafer. The technology builds on the company’s mature wafer‑bonding platform originally developed for stacked back‑side‑illuminated image sensors, enabling high‑density, high‑performance co‑packaged optics (CPO) solutions for data‑center and AI infrastructure.
The company partnered with Cadence Design Systems to extend Cadence’s Virtuoso Studio Heterogeneous Integration flow to support the new 3D‑IC process. The unified design flow allows customers to co‑simulate and co‑verify multiple process technologies within a single environment, improving first‑pass success rates and reducing time‑to‑market for complex multi‑technology die projects.
Strategically, the launch positions Tower as a key supplier for next‑generation optical interconnects. By leveraging its wafer‑bonding expertise, the company can deliver compact, high‑density photonic‑electronic packages that meet the growing demand for bandwidth, lower power consumption, and smaller form factors in data‑center and AI workloads.
Tower’s announcement followed a strong Q3 2025 earnings report released on November 10, 2025. The company reported an earnings‑per‑share beat of $0.24, driven by strict cost controls that preserved margins despite a 4% revenue decline. Total revenue rose 3% to $2.89 billion, with the Silicon Photonics segment contributing $52 million and the RF Infrastructure segment $107 million. Management highlighted the company’s “long‑standing experience in high‑volume wafer stacking for CIS technologies” as the foundation for this new 3D‑IC capability.
Investors responded favorably to the combined impact of the technology launch and the robust earnings performance. The announcement reinforced confidence in Tower’s ability to scale its high‑margin specialty analog platforms and to capture increasing demand for compact, high‑density optical systems.
The move signals a continued focus on high‑growth verticals. Tower has earmarked $300 million for expanding SiPho and SiGe capacities, underscoring its commitment to meeting anticipated demand in data‑center and AI markets. The partnership with Cadence and the new 3D‑IC platform together strengthen Tower’s competitive position and support its forecast of sustained growth in these high‑margin segments.
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