Nvidia Invests $1.5 Billion to Expand Amkor’s U.S. Chip Packaging Capabilities

• July 24, 2026

Nvidia is set to inject $1.5 billion into the expansion of chip packaging facilities operated by Amkor Technology in the United States. This strategic investment aims to strengthen the domestic supply chain for artificial intelligence (AI) chip production and build upon recent advancements in U.S.-based semiconductor manufacturing.

Nvidia’s Push for Greater Domestic Chip Production

This move follows the launch earlier this year of Taiwan Semiconductor Manufacturing Company’s (TSMC) first U.S. fabrication plant located in Arizona. The facility specializes in processing silicon wafers using state-of-the-art 4-nanometer (nm) technology, marking a significant milestone for chip manufacturing on American soil. While the Arizona plant enables companies like Nvidia to produce some AI chips domestically, a fully integrated domestic production line requires additional capabilities beyond wafer fabrication.

Specifically, comprehensive semiconductor manufacturing involves not only the initial wafer fabrication but also testing and packaging of the finished components. Currently, these critical steps of the chip assembly process often rely on overseas facilities, which presents logistical challenges and potential vulnerabilities in the supply chain.

By partnering with Amkor Technology, a global leader in semiconductor packaging and testing services, Nvidia intends to develop and expand such capabilities within the United States. The $1.5 billion investment will help Amkor enhance its American production infrastructure, enabling more comprehensive chip finalization activities domestically. This development is expected to bolster the security and efficiency of Nvidia’s supply chain for AI-driven processors.

While specific details regarding the timeline and scope of the expansion have not been disclosed, Nvidia’s funding highlights the growing importance of onshore semiconductor operations amid increasing geopolitical and market pressures to secure critical technology supply chains.

The collaboration between Nvidia and Amkor underscores wider industry trends aiming to increase semiconductor manufacturing resilience in the U.S. The synergy between TSMC’s advanced wafer fabrication facility and Amkor’s expanded packaging capabilities is poised to create a more self-sufficient chip manufacturing ecosystem, especially for high-demand AI hardware.

As semiconductor technology advances and the demand for AI processing power escalates, investments that reinforce the entire production pipeline—from silicon wafer fabrication to chip packaging—are viewed as essential steps to maintaining technological leadership and supply chain stability.

Nvidia commits $1.5 billion to enhance American chip packaging capacities with Amkor, complementing domestic chip manufacturing efforts.