Nvidia, Amkor strike $1.5 billion chip packaging deal
Reuters
July 24, 2026
Reporting by Juby Babu in Mexico City; Editing by Pooja Desai
Amkor Technology (AMKR.O), opens new tab said on Thursday it had entered a multi-year agreement with Nvidia (NVDA.O), opens new tab worth $1.5 billion to expand advanced semiconductor packaging and test capacity in the U.S., as the chip industry races to build out AI infrastructure.
Shares of the semiconductor packaging company jumped 17% in extended trading.
Here are a few details on the partnership:
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.
Amkor already supplies advanced packaging for Nvidia's product portfolio, including data center processors, and the expanded deal aims to bring new packaging technologies to market as AI infrastructure demand grows.
In June, Amkor entered a 10-year partnership with TSMC (2330.TW), opens new tab, the world's largest contract chipmaker, to enhance semiconductor packaging capabilities in the United States.
Amkor is also working with Advanced Micro Devices (AMD.O), opens new tab to package the semiconductor company's chips.
Related link:Nvidia, Amkor strike $1.5 billion chip packaging deal | Reuters
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