Infineon Technologies AG is strengthening its outsourced backend manufacturing footprint in Europe. Most importantly, the company has announced a multi-year partnership with Amkor Technology, Inc.

Moreover, both companies have agreed on operating a dedicated packaging and test center at Amkor’s manufacturing site in Porto. Operations will commence in the first half of 2025.

With this long-term agreement, Infineon and Amkor further strengthen their partnership. Thus, extending the classical outsourced semiconductor assembly and test (OSAT) business model. 

In addition, Amkor will expand its facilities in Porto and run the production line. For that reason, Amkor will be able to provide dedicated clean room space. On the other hand, Infineon will provide an onsite team with engineering and development support.

Strengthens Supply Chain

The cooperation further strengthens the European semiconductor supply chain and contributes to making it more resilient. Most especially, for automotive customers. It complements Infineon’s already diversified manufacturing footprint, balancing in-house and outsourced production capabilities.

Alexander Gorski, Infineon Executive Vice President said, “Infineon and Amkor are jointly increasing geographical resilience and supply security for our customers. Together, we are strengthening Europe’s importance as a location for semiconductor manufacturing.”

In addition, Gorski, who is also responsible for Infineon’s global Backend Operations, said the company has been operating a large service center in Porto for 20 years now. Currently, the site has more than 600 employees. “With the joint manufacturing center, we are becoming even more deeply rooted in Portugal’s excellent semiconductor ecosystem. We are looking forward to further increasing our footprint in Portugal.”

Meanwhile, Giel Rutten, Amkor’s president and chief executive officer said the company is proud to expand its partnership with Infineon. In addition, Rutten said, “We continue to invest in our Porto manufacturing site, expanding capacity as well as broadening our Advanced packaging and test technology portfolio. This collaboration represents another milestone for both companies in enhancing supply chain resiliency for advanced products supporting Automotive & Industrial end markets.”

-9 April 2024-