What is the purpose of the Nvidia-Amkor agreement?

To expand advanced semiconductor packaging and test capacity in the U.S. for Nvidia's AI and accelerated computing platforms.

Where will Amkor expand its operations under the deal?

In the United States, including capacity in Arizona.

What technologies will the companies focus on?

They will focus on developing packaging and testing technologies that combine different types of chips in a single package.

Nvidia and Amkor Strike $1.5 Billion Chip Packaging Deal

Amkor Technology announced a multi-year agreement with Nvidia worth $1.5 billion to expand advanced semiconductor packaging and test capacity in the U.S., focusing on developing technologies to combine different chips in a single package for Nvidia's AI and accelerated computing platforms.

By: Wrqti Editorial

July 23, 2026

2 min read

Source: Reuters

Key Numbers

deal value

1.5B

currency

USD

Amkor Technology announced on Thursday a multi-year agreement with Nvidia valued at $1.5 billion to expand advanced semiconductor packaging and test capacity in the United States, as the chip industry races to build out AI infrastructure.

Deal Details

Under the agreement, Nvidia will make a prepayment to support the expansion of Amkor's U.S. advanced packaging operations, including capacity in Arizona. The companies will jointly develop packaging and testing technologies for Nvidia's AI and accelerated computing platforms, focusing on combining different types of chips in a single package.

Context

The deal comes amid surging demand for advanced packaging solutions, driven by the rapid buildout of AI infrastructure. Amkor is a leading provider of semiconductor packaging and test services, while Nvidia is the dominant player in AI chips.

What It Means for Investors

The agreement underscores Nvidia's commitment to securing advanced manufacturing capacity in the U.S., potentially reducing supply chain risks. It also signals continued heavy investment in AI infrastructure, which could support future growth for both companies.

Frequently Asked Questions

The deal is worth $1.5 billion, including a prepayment from Nvidia to Amkor.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.