US chipmaker GlobalFoundries (GF) is constructing a new US$4 billion (~RM16.6 billion) factory in Singapore, an expansion clearly made in view of the ongoing global chip shortage plaguing multiple industries.
The new plant is expected to create about 1,000 jobs – around 95% of which will be high-value positions such as technicians, process technicians, and engineers, The Straits Times reported.
“Our new facility in Singapore will support fast-growing end-markets in the automotive, 5G mobility and secure device segments with long-term customer agreements already in place,” said GF CEO Tom Caulfield.
This week we broke ground on what will be the most advanced #semiconductor manufacturing facility in Singapore. This new fab is the first step of our plan to expand our global manufacturing footprint. Watch the full groundbreaking ceremony at: https://t.co/z2cPJbVt2v pic.twitter.com/yuNHtwKCak
— GlobalFoundries (@GlobalFoundries) June 23, 2021
The company said it plans to add 250,000 square feet of cleanroom space and new administrative offices in Singapore, increasing its manufacturing capacity there for 450,000 additional wafers per year. That will boost the total capacity of GF’s Singapore campus up to approximately 1.5 million (300mm) wafers per year.
Expecting global semiconductor revenue to grow by 2.1 times in the next eight years, the company is expanding capacity at all its manufacturing sites, including those in the US and Germany. It’s no surprise that all the major chipmakers, including TSMC, Samsung, and Intel, are racing to build new factories or upgrade manufacturing capacity at existing ones.
The Straits Times said that the GF factory is expected to begin production in January 2023 and reach full capacity by early 2024.