Shanghai, China — IBM announced plans to invest $300 million to build an organic chip packaging manufacturing facility in Shanghai, China to support IBM’s growing semiconductor business around the world. This investment is part of the recently announced $5 billion worldwide investment plan by IBM Corporation.
The new facility will produce electronic cards and high technology chip carriers incorporating IBM’s leading edge packaging technologies called Surface Laminar circuitry (SLC) and HyperBGA. These technologies are used in wired and wireless networking applications, Web servers and pervasive computing market segments.
“The establishment of the new packaging facility in Shanghai signifies a new phase in bringing advanced technology to China,” said Henry Chow, chairman and CEO of IBM Greater China Group. “With extensive partnerships, resources, and customer relationships already, established, today’s announcement is a further demonstration of IBM’s commitment to support the rapidly expanding IT infrastructure in China.” Manufacturing of the organic packaging products will be based in a new IBM facility which will be established in Shanghai. With its unprecedented combination of advanced technology and production capability, IBM’s plant in Shanghai is expected to offer new opportunities for employees and local communities, bringing jobs and added investment to the region.
Mr. Zhou Yu Peng, Vice Mayor of Shanghai Municipal Government, said that this announcement is a concrete expression of IBM’s commitment and cooperation with the Shanghai government to make Shanghai one of the leading high-tech cities in the world. Mr. Zhou also noted that IBM and the Shanghai government share a long history of cooperation, which will form the basis of a strong partnership into the future.
IBM is one of the industry’s foremost suppliers of interconnect products and services, enabling a full spectrum of applications through packaged semiconductors to fully tested electronic assemblies. IBM semiconductor packaging products are designed to support very high-frequency, high-bandwidth requirements being driven by the Internet while providing unmatched performance and dependability.
IBM’s business in China dates back to the 1930’s when the company first installed a business machine for a hospital in Beijing. In the 1980’s, IBM opened representative offices in Beijing and Shanghai, followed by the establishment of the IBM China Company Limited, a wholly-owned subsidiary of IBM World Trade Corporation, in 1992. The IBM China Research Laboratory was established in Beijing in 1995. Today, IBM China has offices in eleven cities and operates eight joint venture companies in China.
IBM Microelectronics is a key contributor to IBM’s role as the world’s premier information technology supplier. IBM Microelectronics develops, manufactures and markets state-of-the-art semiconductor and interconnect technologies, products and services. Its superior integrated solutions can be found in many of the world’s best-known electronic brands. More information about IBM Microelectronics can be found at: http://www.chips.ibm.com .