LAM RESEARCH EXPANDS FOOTPRINT TO MALAYSIA, BUILDS FACTORY IN PENANG

GEORGE TOWN, Feb 5 -- Lam Reserach Corporation, a global supplier of innovative wafer fabrication equipment (WFE) to the semiconductor industry, is expanding its footprint to Malaysia with a new manufacturing facility to be opened in Penang.

Chief Minister Chow Kon Yeow said that a 700,000 sq ft (65,032.13 sq m) of office, manufacturing facilities and warehouse will be established at Batu Kawan Industrial Park.

"The site will be their latest addition to the existing sites in the United States, Austria and South Korea," he said in a press conference here today.

He said Lam Research’s presence is expected to further boost Malaysia’s image as a preferred location for the semiconductor as well as the electrical and electronics (E&E) industries, elevating Penang’s global status in the semiconductor industry.

"Lam Research’s footprint in Penang will attract more relevant vendors to invest here and enable Penang to create a more robust E&E ecosystem than ever.

"There will be vast opportunities for local equipment suppliers as well, and I take note that InvestPenang will be working with Lam Research to explore localisation and supply chain opportunities,” he said, referring to InvestPenang, the state government’s principal investment promotion agency.

The press conference was also joined by Deputy Chief Minister I Datuk Ahmad Zakiyuddin Abdul Rahman, InvestPenang chief executive officer (CEO) Datuk Loo Lee Lian, Penang Development Corporation (PDC) general manager Datuk Mohd Bazid Abd Kahar, and Malaysian Investment Development Authority (MIDA) Penang director Yusni Md Yusop.

Lam Research global operations senior vice president Kevin Jennings and Lam Research (Manufacturing) vice president Mike Snell also joined the press conference via video conferencing.

Jennings said that the new facility in Penang would create approximately 350 high-value jobs over the next three years, with room for growth over time.

"Construction is expected to begin by next month, with the first shipment and operation some time in 2021," he said.

Snell, who is also the project leader of the new manufacturing facility, said that Lam Research has invested approximately US$225 million (RM928.13 million) in the overall project.

"The factory itself is estimated to be around US$150 million (RM618.75 million), and we estimate spending about half of that again with about US$75 million (RM309.38 million) in time for incremental warehousing (established) within a short range of the factory," he added.

-- BERNAMA