Amkor secures $1.5 billion Nvidia packaging deal to expand U.S. chip capacity
Amkor Technology is expanding its role in the U.S. semiconductor supply chain with a new long-term agreement tied to rising artificial intelligence infrastructure demand. The $1.5 billion arrangement with Nvidia includes support for advanced packaging and testing growth, including capacity in Arizona.
Highlights
- Amkor announced a $1.5 billion multi-year agreement with Nvidia, including prepayment, to expand advanced semiconductor packaging operations in Arizona.
- The agreement aims to accelerate new packaging and testing technology development for Nvidia's AI and accelerated-computing platforms by integrating multiple chips into single packages.
- Amkor shares surged 17% in extended trading after the deal, reinforcing its push for U.S. packaging capacity with recent partnerships including TSMC and Advanced Micro Devices.
U.S. packaging expansion and technology plan
As reported by Reuters, Amkor says it has entered a multi-year agreement with Nvidia under which the chip designer will make a prepayment to help expand Amkor's advanced semiconductor packaging operations in the U.S.The deal covers advanced packaging and test capacity, including operations in Arizona. The companies also plan to jointly develop packaging and testing technologies for Nvidia's AI and accelerated-computing platforms, with a focus on integrating different types of chips into a single package.
Amkor already provides advanced packaging for Nvidia products, including data center processors. The broader agreement is intended to accelerate the introduction of new packaging technologies as demand for AI infrastructure continues to rise.
Market response and broader industry positioning
Investors react strongly to the announcement, sending Amkor shares up 17% in extended trading. The agreement adds to a wider push by semiconductor companies to build more advanced manufacturing and supply chain capacity in the U.S.Amkor has recently expanded its domestic packaging partnerships. In June, it entered a 10-year partnership with TSMC to strengthen semiconductor packaging capabilities in the United States, and it is also working with Advanced Micro Devices to package that company's chips.
Our earlier report on the SBA’s SCALE grant program explained how the agency is launching a $9 million competition to help ease supply chain bottlenecks and expand domestic production capacity. The initiative targets six priority sectors, including advanced manufacturing, and supports organizations that can provide accelerator services and technical assistance to small businesses as the U.S. pushes to reinforce industrial infrastructure and economic security.
-
Afghanistan
-
Albania
-
Algeria
-
Angola
-
Argentina
-
Armenia
-
Australia
-
Austria
-
Azerbaijan
-
Bahamas
-
Bahrain
-
Bangladesh
-
Belarus
-
Belgium
-
Bolivia
-
Botswana
-
Brazil
-
Brunei
-
Bulgaria
-
Cambodia
-
Cameroon
-
Canada
-
Chile
-
China
-
Colombia
-
Congo
-
Costa Rica
-
Cote d'Ivoire
-
Croatia
-
Cuba
-
Cyprus
-
Czechia
-
DR Congo
-
Denmark
-
Dominican Republic
-
Ecuador
-
Egypt
-
El Salvador
-
Estonia
-
Eswatini
-
Ethiopia
-
Finland
-
France
-
Georgia
-
Germany
-
Ghana
-
Greece
-
Haiti
-
Hong Kong
-
Hungary
-
India
-
Indonesia
-
Iran, Islamic republic
-
Iraq
-
Ireland
-
Israel
-
Italy
-
Jamaica
-
Japan
-
Jordan
-
Kazakhstan
-
Kenya
-
Korea
-
Kuwait
-
Kyrgyzstan
-
Laos
-
Latvia
-
Lebanon
-
Lesotho
-
Libya
-
Lithuania
-
Luxembourg
-
Madagascar
-
Malaysia
-
Malta
-
Mauritius
-
Mexico
-
Moldova
-
Mongolia
-
Montenegro
-
Morocco
-
Mozambique
-
Myanmar
-
Namibia
-
Nepal
-
Netherlands
-
New Zealand
-
Nigeria
-
North Macedonia
-
Norway
-
Oman
-
Pakistan
-
Palestine
-
Panama
-
Papua New Guinea
-
Paraguay
-
Peru
-
Philippines
-
Poland
-
Portugal
-
Puerto Rico
-
Qatar
-
Reunion
-
Romania
-
Rwanda
-
Saudi Arabia
-
Serbia
-
Singapore
-
Slovakia
-
Slovenia
-
Somalia
-
South Africa
-
Spain
-
Sri Lanka
-
Sweden
-
Switzerland
-
Syria
-
Taiwan
-
Tajikistan
-
Tanzania
-
Thailand
-
Trinidad and Tobago
-
Tunisia
-
Turkey
-
UAE
-
Uganda
-
Ukraine
-
United Kingdom
-
United States
-
Uruguay
-
Uzbekistan
-
Venezuela
-
Vietnam
-
Yemen
-
Zambia
-
Zimbabwe
- Forex
- Crypto
