Amkor Technology to Build $2 Billion Semiconductor Facility in Arizona

Amkor Technology Inc. announced a $2 billion investment in a new semiconductor facility in Peoria, Arizona, expected to create 2,000 jobs and strengthen the US semiconductor supply chain. Production is set to begin in early 2028. The investment is strategic, but the long lead time and significant capital outlay may strain financial resources in the short term. Investors should monitor Amkor's financial performance and cash flow management as the project progresses.

Amkor Technology Inc. (Nasdaq: AMKR), a leading provider of semiconductor packaging and test services, has announced a significant investment in a new semiconductor advanced packaging and test facility in Peoria, Arizona. The company aims to strengthen the U.S. semiconductor supply chain and meet growing customer demand.

The new facility, located on a 104-acre site within the Peoria Innovation Core, is expected to create 2,000 new jobs and cost approximately $2 billion. The construction of the facility is set to begin within days, with production anticipated to commence in early 2028. The project is part of Amkor's long-term strategy to reinforce its commitment to U.S.-based chip manufacturing and support critical industries such as computing, communications, and automotive.

The investment is strategic for Amkor, but the long lead time and significant capital outlay may strain financial resources in the short term. Investors should closely monitor Amkor's financial performance and cash flow management as the project progresses.

The Peoria City Council has approved a land swap and an amended development agreement, facilitating the transition of the facility to the new site. This move marks a historic milestone for the partnership between the City of Peoria and Amkor, bringing a substantial economic boost to the community.

Amkor has operated in Greater Phoenix since 1984 and is a key player in Arizona's growing semiconductor ecosystem. The company's comprehensive portfolio includes advanced packaging, wafer-level processing, and system-in-package solutions targeting various applications, such as smartphones, data centers, artificial intelligence, automobiles, and wearables.

References:
[1] https://finance.yahoo.com/news/amkor-announces-u-semiconductor-advanced-030500868.html
[2] https://www.morningstar.com/news/business-wire/20250828146023/amkor-announces-new-site-for-us-semiconductor-advanced-packaging-and-test-facility
[3] https://finance.yahoo.com/news/amkor-poised-move-proposed-packaging-202137125.html