Apple Chip Manufacturing in U.S. to Expand Following New Partnership - MacRumors
Skip to Content

Apple Chip Manufacturing in U.S. to Expand Following New Partnership

Apple's chip manufacturer TSMC and chip packaging company Amkor on Thursday announced that the two companies have signed a memorandum of understanding to collaborate on chip production, packaging, and testing in Arizona.

apple silicon feature joeblue
In a press release, the two companies said that the close proximity of their facilities in Arizona will speed up the overall chip manufacturing process:

Under the agreement, TSMC will contract turnkey advanced packaging and test services from Amkor in their planned facility in Peoria, Arizona. TSMC will leverage these services to support its customers, particularly those using TSMC's advanced wafer fabrication facilities in Phoenix. The close collaboration and proximity of TSMC's front-end fab and Amkor's back-end facility will accelerate overall product cycle times.

Apple last year confirmed that Amkor would package Apple silicon chips produced at a nearby TSMC facility, as part of a shared desire to expand U.S. manufacturing. Tech journalist Tim Culpan recently reported that the TSMC facility had started small-scale production of the A16 chip, which debuted in the iPhone 14 Pro models two years ago. The lower-end iPhone 15 and iPhone 15 Plus models also use the A16 chip.

Apple said Amkor would invest approximately $2 billion in the project, and said it would employ more than 2,000 people upon completion.

"Apple is deeply committed to the future of American manufacturing, and we'll continue to expand our investment here in the United States," said Apple's operations chief Jeff Williams, in a press release last November. "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."

This partnership comes a little over two years after the U.S. government passed the CHIPS and Science Act, which provides funding to corporations, including TSMC and Amkor, to increase U.S. semiconductor research and manufacturing.

Popular Stories

apple silicon feature joeblue

Apple's Chipmaker Pledges $100 Billion More for US Plants

Thursday July 16, 2026 8:48 am PDT by
Apple chip supplier TSMC has announced a $100 billion increase to its U.S. chip investment, bringing its total commitment to $265 billion. The increase was confirmed by the White House and the Department of Commerce alongside TSMC's second quarter earnings call. Commerce Secretary Howard Lutnick said the investment would "create tens of thousands of American jobs," while TSMC chairman and...
tsmc semiconductor chip inspection 678x452

Apple Chipmaker TSMC Plans Price Hikes of Up to 10% in 2027

Tuesday July 21, 2026 4:01 am PDT by
Apple's principal chipmaker TSMC plans to raise prices by as much as 10 percent starting in 2027, according to a new report from Nikkei Asia. The Taiwan-based foundry has reportedly held talks with clients about base price increases of 5 to 10 percent, covering both mature nodes and the more advanced processes at 7-nanometers and below that Apple relies on for its A-series and M-series...
apple silicon feature joeblue

Apple Silicon Exec Explains Mac Mini AI Demand and On-Device Future

Monday July 6, 2026 5:10 am PDT by
Apple's Mac mini and Mac Studio have become the machines of choice for running AI agents, according to Doug Brooks, Apple's senior product manager of Apple silicon. Brooks made the claim while discussing Apple's chip strategy in a newly published interview with The Deep View conducted just prior to WWDC 2026 in June. Brooks says that the company has seen "incredible demand" for the two...

Top Rated Comments

24 months ago
They build these facilities on the most stable land mass possible. Any seismic event leads to fab shutdown. That’s how sensitive the equipment is.

Water can be transported in and recycled.

That’s the main reason why Arizona. Finance and geopolitics come after that.
Score: 13 Votes (Like | Disagree)
dumastudetto Avatar
24 months ago

Good news if this happens.
I believe Apple are deeply committed to this. They want more diversified manufacturing to counter the geopolitical risks currently ongoing.
Score: 9 Votes (Like | Disagree)
24 months ago
Good news if this happens.
Score: 8 Votes (Like | Disagree)
jml12286 Avatar
24 months ago
Pretty sweet. I like that we can start making some important things here.
Score: 7 Votes (Like | Disagree)
tenthousandthings Avatar
24 months ago

The quoted article seems to be making the opposite point. It says it's using a relatively small fraction of water and recycling most of it, after a large initial intake.

I don't quite understand why they put these in the deserts either, or how they plan to get the water, but it seems they're managing pretty well.
Taiwan is an island with finite resources, so I’ll guess TSMC is pretty good at recycling the water they use already.
Score: 6 Votes (Like | Disagree)
24 months ago

Don't chip manufacturing facilities use millions of gallons of water per day ('https://www.azcentral.com/story/opinion/op-ed/joannaallhands/2024/06/12/tsmc-arizona-water-use-recycling/74059522007/')?

I don't know who thought it was a great idea to build such a water-dependent facility in what's probably one of the driest places in the North American continent, but that's some real 200 IQ big-brain thinking. 🤪
The quoted article seems to be making the opposite point. It says it's using a relatively small fraction of water and recycling most of it, after a large initial intake.

I don't quite understand why they put these in the deserts either, or how they plan to get the water, but it seems they're managing pretty well.
Score: 6 Votes (Like | Disagree)