# Amkor Technology and NVIDIA expand strategic packaging partnership to $3 billion across Arizona and South Korea

Additional multi-year commitments in South Korea bolster Amkor's $12 billion Peoria campus, tripling interposer wafer capacity to break the AI accelerator packaging bottleneck.

- Canonical: https://reviewblip.com/news/amkor-technology-and-nvidia-expand-strategic-packaging-partnership-to-3-billion-across-arizona-and-south-korea/
- Published: 2026-10-22T17:03:58.934Z
- Updated: 2026-10-22T17:03:58.934Z
- Author: ReviewBlip
- Category: Computing & Advanced Semiconductors
- Type: News

![Amkor Technology official corporate brandmark rendered on a rounded card badge against a clean editorial background](https://reviewblip.com/editorial-images/6b0a4a3b6a73dde0e48dd7caae883afa2bd974d49bba15557b5e8ec786cda37d)

Image credit: Amkor Technology · Corporate brandmark and advanced packaging manufacturing identity

Leading semiconductor outsourced assembly and test (OSAT) provider Amkor Technology announced a major multi-year expansion of its strategic partnership with NVIDIA, pushing total packaging commitments across the United States and South Korea to $3 billion. The agreement injects substantial customer prepayments from NVIDIA to co-fund dedicated packaging lines and procure high-precision cleanroom tooling designed to alleviate persistent packaging shortages for next-generation AI accelerators.\[4\]

The strategic agreement expands Amkor’s manufacturing operations in South Korea to deliver a more than 300% increase in interposer wafer and high-density 2.5D/3D heterogeneous packaging capacity by the end of 2028. This Asian expansion operates in tandem with Amkor’s flagship $12 billion, 170-acre packaging and testing campus in Peoria, Arizona, where Phase 2 construction is adding 60,000 square meters of cleanroom space directly adjacent to TSMC’s domestic wafer fabrication facilities.\[4\]

Advanced packaging has replaced raw silicon wafer fabrication as the primary manufacturing bottleneck throttling global AI compute availability. Packaging modern superchips like NVIDIA's Blackwell and Vera Rubin architectures requires microscopic silicon interposers, dense micro-bumps, and high-bandwidth memory (HBM3e) integration that demand extreme cleanroom precision. NVIDIA's multi-billion-dollar commitment to Amkor complements parallel capacity agreements with substrate makers Samsung Electro-Mechanics and Ibiden, forging a geographically diversified supply chain less vulnerable to regional geopolitical disruptions.\[4\]

Our take: In modern AI silicon, the days of single monolithic chips are dead. Leading accelerators are massive multi-die systems whose performance depends entirely on the speed and density of the interposers that stitch compute chiplets to high-bandwidth memory stacks. By locking in $3 billion worth of dedicated advanced packaging capacity across Arizona and South Korea, Nvidia is insulating its 2027 and 2028 production ramps against the packaging shortfalls that previously capped industry revenues. For the US semiconductor ecosystem, Amkor’s expanding Peoria hub represents the vital domestic back-end loop needed to make onshore wafer fabs truly autonomous.

## Sources
- [\[4\] Business Wire / Yahoo Finance: Amkor Technology and NVIDIA Advance Strategic Partnership for AI Infrastructure](https://finance.yahoo.com/technology/ai/articles/amkor-technology-nvidia-advance-strategic-113000353.html)