According to the intelligence news app, Amkor Technology (AMKR.US) has reached a non-binding preliminary memorandum of understanding with the US Department of Commerce as part of the Chip and Science Act. The company will receive up to $0.4 billion in proposed direct funds. In addition, these terms provide for a proposed loan of $0.2 billion.

In November 2023, Amkor Technology announced plans to establish the first domestic OSAT (Outsourced Semiconductor Assembly and Testing) factory in Peoria, Arizona, which will become the largest outsourced advanced packaging and testing facility in the United States. The company plans to invest approximately $2 billion in the factory and employ approximately 2,000 employees. The first phase of the factory's goal is to be production-ready within three years.

The company plans to invest approximately $2 billion in the factory and employ approximately 2,000 employees. The first phase of the factory's goal is to be production-ready within three years.

According to foreign media reports, "establishing an advanced packaging and testing facility in Arizona allows Amkor to leverage its position as a world leader in semiconductors, contract manufacturers, and OEM strategic manufacturing partners, all while playing a key role in ensuring the innovation competitiveness of U.S. semiconductor manufacturing."

Amkor Technology and Taiwan Semiconductor (TSM.US) have been working closely together to provide leading technology for advanced semiconductor packaging and testing, supporting key markets such as high-performance computing, autos and communications in large quantities.

The new manufacturing plant will make Amkor Technology a powerful member of the ecosystem, which includes front-end wafer fabs, IDMs and suppliers all of whom are expanding their businesses in the region.