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Amkor to build US$ 2 billion Arizona facility, will package Apple Silicon chips

Apple x Amkor Technology

Amkor Technology, a leading semiconductor packaging and test services provider, has unveiled plans for an advanced packaging and test facility in Peoria, Arizona. Apple has confirmed its pivotal role as the primary and largest customer for this forthcoming manufacturing hub.

This facility will play a crucial role in packaging Apple Silicon manufactured at the nearby TSMC fab, where Apple stands as the leading customer.

Amkor, being the singular U.S.-based OSAT (outsourced semiconductor assembly and test) service provider, possesses advanced packaging technology expertise and extensive experience in high-volume manufacturing. Following its finalization, this facility will emerge as the most extensive outsourced advanced packaging hub within the United States.

Having collaborated for over a decade, Apple and Amkor share a commitment to U.S. manufacturing. Together, they have devised plans to construct the most extensive outsourced advanced packaging facility in America, with Amkor investing around USD 2 billion in the project.

Amkor said that it has secured approximately 55 acres of land with intent to build a state-of-the-art manufacturing campus with more than 500,000 square feet of clean room space.

The first phase of the manufacturing plant is targeted to be ready for production within the next two to three years. Once completed, the facility is anticipated to employ over 2,000 people.

Apple’s significant investment in advanced manufacturing aligns with its 2021 commitment to inject USD 430 billion into the U.S. economy over five years.

The company is currently on track to meet this ambitious target through direct spending with American suppliers, data center investments, U.S. capital expenditures, and other domestic expenditures.

Regarding the announcement, Jeff Williams, Apple’s chief operating officer, said,

Apple is deeply committed to the future of American manufacturing, and we’ll continue to expand our investment here in the United States. Apple silicon has unlocked new levels of performance for our users, enabling them to do things they could never do before, and we are thrilled that Apple silicon will soon be produced and packaged in Arizona.