Amkor Technology signs memorandum of terms with US Department of Commerce

Amkor Technology announced it has signed a non-binding preliminary memorandum of terms with the US Department of Commerce to receive proposed funding as part of the CHIPS and Science Act. Amkor announced in November 2023 its plans to build its first domestic OSAT facility in Peoria, Arizona. Amkor projects to invest approximately $2B and employ approximately 2,000 people at the new facility. Upon completion, this will be the largest outsourced advanced packaging and test facility in the United States. The terms include: up to $400M in proposed direct funding and access to $200M in proposed loans. Amkor plans to take advantage of the Department of the Treasury’s Investment Tax Credit, which is expected to be up to 25% of qualified capital expenditures. Amkor’s Arizona facility is a part to establishing a robust and resilient domestic semiconductor supply chain.