Amkor Technology has entered into a multi-year agreement with Nvidia valued at $1.5 billion to expand advanced semiconductor packaging and test capacity in the United States.
The deal, announced Thursday, signals a deepening of Nvidia’s domestic supply chain footprint as the chip industry races to meet surging demand for AI hardware.
This development comes as Nvidia’s market capitalization approaches the $5 trillion threshold, reflecting sustained investor confidence in the artificial intelligence infrastructure build-out.
The agreement highlights the critical role of advanced packaging in the semiconductor value chain.
As chip designs grow more complex, packaging capacity has become a bottleneck for leading AI accelerators.
By securing long-term capacity with Amkor, Nvidia aims to mitigate supply constraints and reduce reliance on overseas facilities for final assembly and testing.
This development comes as Nvidia’s market capitalization approaches the $5 trillion threshold, reflecting sustained investor confidence in the artificial intelligence infrastructure build-out.