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Infineon invests about US$53 million in Malaysian operations

AvantiKumar | Feb. 24, 2010
Optimises back-end production facilities in Malacca

KUALA LUMPUR, 24 FEBRUARY 2010 German semiconductor solutions firm Infineon Technologies (Malaysia) is to invest about US$53 million (RM180 million) in expanding its back-end manufacturing plant for power semiconductors in Malacca, Malaysia.

Infineon Technologies Malaysia vice president and managing director Peter Bailey said the physical expansion of a 6,700 sq m manufacturing facility would add another 16 per cent production capacity for power semiconductors in Malacca.

At present, Infineon has around 5,600 employees in Malacca, said Bailey. The company expects to increase the number of employees to about 5,800 by September 2010.

Besides investing in manufacturing, the company will further invest in building engineering competencies for packaging technologies, product and test development, he said.

About  US$6 million (RM21 million) of the investment will  be invested in engineering know-how and development tools for design of new package and process technologies, said Bailey.

Since the development centre's inception in 2005, the number of engineers has grown three-fold to a total of 154 engineers, he said. Infineon expects to grow its engineering-based competencies through the company's Innovation Fab initiative and university collaboration program resulting in the acceleration to meet customers' demand for innovative and competitive solutions.

Expanding our Malacca site is an important investment in the future. It also reaffirms Infineon's commitment to manufacturing and engineering activities in Malaysia, said Bailey.