Amkor Technology, Inc. has secured an additional 67-acre parcel of land in Arizona to expand its advanced semiconductor packaging and testing capacity [1].
This expansion represents a strategic move to localize the semiconductor supply chain within the U.S. as the industry faces surging demand for artificial intelligence hardware. By scaling its domestic footprint, Amkor aims to reduce reliance on overseas packaging and accelerate the delivery of high-performance chips.
The newly acquired land is adjacent to the company's existing 104-acre parcel near Peoria, Arizona [1]. This expansion is part of a broader effort to scale high-volume semiconductor packaging and testing operations [3].
Amkor has expanded its total investment in the Arizona campus to $7 billion [2]. The company plans for production at the site to begin in 2028 [1].
This growth is closely tied to the company's financial ambitions. Amkor is targeting $11 billion in revenue by 2030, driven largely by the ramp-up of AI packaging capabilities [4]. The company is also working with AMD on advanced packaging solutions as part of its operational scaling [1].
Advanced packaging is a critical final step in semiconductor manufacturing, where individual dies are integrated into a single package to improve power, and performance. As AI models require more complex chip architectures, the need for these advanced domestic facilities has increased.
“Amkor has expanded its total investment in the Arizona campus to $7 billion.”
The expansion highlights a shift toward 'onshoring' the backend of semiconductor manufacturing. While the U.S. has focused heavily on chip fabrication (fabs), advanced packaging remains a bottleneck often handled in Asia. Amkor's $7 billion investment suggests that the infrastructure for AI hardware is moving toward a fully integrated domestic pipeline to ensure supply chain resilience.
