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Tom’s Hardware
Tom’s Hardware
Technology
Luke James

Amkor breaks ground on Arizona advanced packaging campus, plugging critical gap in US semiconductor supply chain — production expected in 2028, investment could extend to $7 billion with 3,000 jobs in tow

A digital rendering of Amkor's upcoming Arizona chip packaging facility. .

Amkor has broken ground on a new semiconductor packaging and test campus in Peoria, Arizona, marking a rare domestic expansion in one of the industry’s most critical and capacity-constrained areas. The site, which covers multiple buildings and up to 750,000 square feet of cleanroom, is scheduled to begin production in early 2028 following completion of the first factory in mid-2027.

The facility has already secured Apple and Nvidia as lead customers and will handle chip packaging for Apple silicon, which will be fabricated nearby at TSMC’s Arizona fabs. The U.S. Commerce Department previously awarded Amkor up to $400 million in proposed CHIPS Act funding for the project, calling it the largest outsourced advanced packaging facility in America. The initial phase carries a $2 billion investment, but Arizona officials say Amkor’s footprint could eventually grow to a $7 billion campus with as many as 3,000 jobs.

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