Amkor Technology (Nasdaq: AMKR) is expanding its planned advanced semiconductor packaging and test campus in Arizona, adding 60,000 square meters of cleanroom capacity and raising the project’s total planned investment to approximately $12 billion.
The company said the decision to launch Phase 2 follows customer commitments that have already exceeded the 33,000 square meters of cleanroom capacity planned under Phase 1. Once the expansion is completed, the 170-acre campus is expected to have approximately 93,000 square meters of cleanroom space.
The Arizona campus is being developed as a multi-phase manufacturing site covering wafer bump, probe, assembly and test operations. Amkor said the facility is designed to meet growing US demand for advanced semiconductor packaging and provide customers with a domestic, turnkey manufacturing platform.
Together, the first two phases are expected to support a workforce of more than 3,500 employees in Arizona.
“Customers need a trusted partner that can deliver at scale with the quality, technology leadership and operational discipline required for their most advanced products,” Amkor President and CEO Kevin Engel said, adding that expanding US capacity is critical as chip architectures become more complex.
Amkor said its Arizona facility will be the first high-volume OSAT production site in the US focused on advanced packaging. The project is intended to give semiconductor customers access to packaging and testing capabilities within the country, reducing reliance on overseas production for those stages of chip manufacturing.
Construction of Phase 2 is expected to begin in late 2027, with completion targeted for the end of 2029. The campus has been designed with additional room for future expansion as customer demand develops.
The investment comes as advanced packaging becomes increasingly important to semiconductor manufacturers seeking to integrate more compute, memory and functionality into increasingly complex chip architectures. Packaging technologies such as chiplets and advanced interconnects are also becoming central to the development of high-performance computing and AI systems.
Amkor’s expanded Arizona footprint will increase domestic capacity for these operations.
