U.S. Commerce Department To Back Amkor Technology's $2 Billion Semiconductor Facility

The U.S. Commerce Department announced plans to give Amkor Technology up to $400 million in grants for a $2 billion semiconductor facility in Arizona. This plant will package and test chips for advancements in AI, 5G/6G, and autonomous vehicles. Apple will be a major customer, with production linked to TSMC.

The U.S. Commerce Department revealed plans to award Amkor Technology up to $400 million in government grants to support the construction of a $2 billion advanced semiconductor packaging facility in Arizona.

Set to be the largest of its kind in the U.S., the new plant will package and test millions of chips crucial for autonomous vehicles, 5G/6G networks, and data centers. Apple's substantial involvement as the first and biggest customer hinges on chips produced at a nearby TSMC facility.

Commerce Secretary Gina Raimondo emphasized the significance of the award in meeting the increasing demand for AI chips, highlighting the foundational role these chips play in future technologies essential for global economic and national security over the coming decades.

(With inputs from agencies.)