Peoria City Council approves Development Agreement, paving way for Amkor Technology’s advanced semiconductor packaging and test facility

Published: 02/21/2024

Amkor to build country’s largest outsourced semiconductor packaging and test facility in Peoria

PEORIA, Ariz. (Feb. 20, 2024) — The Peoria City Council approved a Development Agreement with Tempe-based Amkor Technology, at the Tuesday night Regular Council Meeting, for the future location of their state-of-the-art advanced semiconductor packaging and test campus.

Through the agreement Amkor has committed to develop the largest outsourced semiconductor packaging and test facility in the United States, representing a $2 billion multi-phase investment in Peoria, adding 2,000 new local jobs.

The public infrastructure associated with the project, to be located in FIVE NORTH at VISTANCIA, a 320-acre mixed use lifestyle and employment core, will be constructed and reimbursed by a three-way Joint Development Agreement with Vistancia Development LLC, Amkor and the city of Peoria, of which the city will reimburse up to $3 million toward the cost of the public infrastructure.

“Peoria is proud to be part of our country’s commitment to expand semiconductor advanced manufacturing and related industries here in the United States,” said Mayor Jason Beck. “Amkor is a great partner that will bring high-quality jobs and products to our community. I’m proud of Peoria’s team for the work they have done to bring these high-quality jobs back to America, the state of Arizona, and the hard-working people of Peoria.”

“Amkor’s new facility in Peoria represents a pivotal milestone in advancing semiconductor manufacturing within the United States,” said Giel Rutten, Amkor’s president and chief executive officer. “We are excited and proud to help spearhead the development of a robust American semiconductor ecosystem here in the heart of the Silicon Desert.”

“We are thrilled Amkor Technology has selected FIVE NORTH at VISTANCIA’s employment core as its future home for their advanced semiconductor packaging and testing campus, bringing 2,000 new jobs to North Peoria. FIVE NORTH at VISTANCIA’s unique mix of quality employment, creatively infused restaurant/retail, hospitality, office, healthcare, residential and educational opportunities make it a highly desirable place for employers, businesses and retailers,” said Mark Hammons, general manager of Vistancia. “We expect that Amkor’s location will help attract additional businesses to the area over the coming years. We look forward to completing our vision of FIVE NORTH at VISTANCIA as the energetic heartbeat of the West Valley.”

In addition to Amkor and Vistancia, this project was actively supported by many federal, state, and regional partnerships including the Arizona Commerce Authority and the Greater Phoenix Economic Council.

“We’re excited to see this historic project advance with the support of the City of Peoria and VISTANCIA,” said Sandra Watson, President and CEO of the Arizona Commerce Authority. “Amkor’s facility will anchor leading edge semiconductor packaging operations in Arizona and the United States, providing a major boost for jobs and supply chain security. We’re grateful for the efforts of all partners involved to move this important project forward.”

“Coordination like this between public, private and regional partners is how cities evolve and livelihoods grow,” said Greater Phoenix Economic Council President & CEO Chris Camacho. “We expect this to be the next step in a long, fruitful and mutually beneficial partnership between Peoria and Amkor that can catalyze a new component of the semiconductor supply chain throughout the U.S.”

Amkor’s plans for the Peoria facility will provide high volume, leading-edge technologies for advanced packaging and test of semiconductors to support critical markets such as high-performance computing, automotive, and communications.