By Stephen Nellis
SAN FRANCISCO, May 21 (Reuters) - Amkor Technology is working with Advanced Micro Devices on packaging AMD's chips, Amkor said on Thursday.
Earlier this week, Amkor said it had secured 67 additional acres of land in Arizona next to a 104-acre parcel where it is developing a new campus where it plans to start production in 2028.
Modern data center chips such as those from AMD and Nvidia consist of multiple chips packaged together, and those packaging steps have become a key bottleneck
in chip production.
Amkor once specialized in less-complex chip packaging but is working to move into more advanced versions of the technology, including through a partnership with Taiwan Semiconductor Manufacturing where Amkor will use some of TSMC's technology at a facility in Arizona to offer some of TSMC's older technologies to joint customers.
While Amkor has previously disclosed planned work with Nvidia and Apple at the Arizona facility, Amkor CEO Kevin Engel told Reuters that the company is also working with AMD.
"We're moving up the value chain," Engel said. "We're more integrated with the customers, and that's really changing the dynamic to where we can extract more value out of our services."
At an investor event on Thursday, Amkor said it expects to have between $8.5 billion and $9.5 billion of revenue by 2028 and $11 billion in sales by 2030.
The $9 billion midpoint of the 2028 forecast was slightly below analyst estimates of $9.1 billion, according to data from LSEG. Amkor shares declined 2.6% after the forecast.
(Reporting by Stephen Nellis in San Francisco; Editing by Mark Porter)
