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This Morning Apple Announced that they're expanding their partnership with Amkor for Advanced Silicon Packaging in the U.S.

1 cover Amkor Technology announcement with Apple

This morning, Apple announced it will be the first and largest customer of the new Amkor manufacturing and packaging facility being developed in Peoria, Arizona. Amkor will package Apple silicon produced at the nearby TSMC fab, where Apple is also the largest customer.

Jeff Williams, Apple’s chief operating officer: “Apple is deeply committed to the future of American manufacturing, and we’ll continue to expand our investment here in the United States. Apple silicon has unlocked new levels of performance for our users, enabling them to do things they could never do before, and we are thrilled that Apple silicon will soon be produced and packaged in Arizona.”

Apple and Amkor have worked together for more than a decade, packaging chips used extensively in all Apple products. With a shared desire to manufacture in the U.S., Apple and Amkor developed plans to build the largest outsourced advanced packaging facility in America. Amkor will invest approximately $2 billion in the project, and upon completion, it will employ more than 2,000 people.

Apple’s investments in advanced manufacturing are part of the commitment the company made in 2021 to invest $430 billion in the U.S. economy over five years. Today Apple is on pace to meet its target through direct spend with American suppliers, data center investments, capital expenditures in the U.S., and other domestic spend.

Giel Rutten, Amkor’s president and chief executive officer: "Expansion of a US semiconductor supply chain is underway, and as the largest US-headquartered advanced packaging company, we are excited to lead the charge in bolstering America’s advanced packaging capabilities. Semiconductor companies, foundries, and other supply chain partners understand the need to strategically broaden their geographic footprint. The announcement of our new advanced packaging and test facility in Arizona is a clear signal of our intent to help our customers ensure resilient supply chains and be a part of a strong American semiconductor ecosystem.”

In recent Congressional testimony, Commerce Secretary Gina M. Raimondo highlighted advanced packaging as a major area of focus for the US government’s effort to rebuild American semiconductor manufacturing. The Commerce Department made clear that developing robust advanced manufacturing capacity and capability is a key priority and essential to the success of the CHIPS program.

Amkor worked closely with Apple on the strategic vision and initial manufacturing capability of the Peoria facility, which will package and test chips produced for Apple at the nearby TSMC fab. When the new facility opens, Apple will be its first and largest customer.

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