The present disclosure provides a package structure of an air gap type semiconductor device and its fabrication method. The fabrication method includes forming a bonding layer having a first opening on a carrier; disposing a semiconductor chip on the bonding layer, thereby forming a first cavity at the first opening, where the first cavity is at least aligned with a portion of an active region of the semiconductor chip; performing an encapsulation process to encapsulate the semiconductor chip on the carrier; lastly, forming through holes passing through the carrier where each through hole is aligned with a corresponding input/output electrode region of the semiconductor chip, and forming interconnection structures on a side of the carrier different from a side with the bonding layer, where each interconnection structure passes through a corresponding through hole and is electrically connected to an corresponding input/output electrode.