Kuala Lumpur: Austria Technologie and Systemtechnik AG (AT and S), a leading manufacturer of high-end integrated circuit (IC) substrates and printed circuit boards, has announced the commencement of high-volume production at its newly completed facility at Kulim Hi-Tech Park (KHTP), Kedah.
According to BERNAMA News Agency, Ingolf Schroeder, executive vice president of AT and S’s microelectronics business unit, emphasized the importance of this milestone for both the company and Malaysia. During a press conference, Schroeder noted, “By introducing high-end IC substrate technology to Kulim, we will contribute to Malaysia’s economic and technological growth in a sustainable manner.”
The Kulim campus, completed in just two years, has started producing high-end IC substrates for major clients, including AMD’s data center processors. Schroeder highlighted the expected growth of the facility, driven by rising global demand for central processing units (CPUs) and graphics processing units (GPUs) utilized in data centers, artificial intelligence (AI), virtual reality (VR), and augmented reality (AR).
Schroeder further explained, “With the exponential increase in data volume, the demand for storage, transmission, and analysis continues to surge. AT and S is well-positioned to serve this market, and we expect more high-profile clients to join us at the Kulim plant within this financial year.”
Underscoring AT and S’s commitment to Malaysia’s semiconductor ecosystem, Schroeder mentioned the company’s collaboration with the Collaborative Research in Engineering, Science and Technology (CREST) and the Ministry of Investment, Trade and Industry (MITI) to support the National Semiconductor Strategy (NSS). He remarked, “We are already contributing significantly to Malaysia’s tech landscape. High-end manufacturing requires considerable investment, and we are grateful for the strong partnerships we have established with local institutions.”
AT and S has invested approximately RM5 billion (Euro 1 billion) in its Kulim plant and administrative building, which covers a gross floor area of about 255,000 square meters and houses around 500 high-tech machines. The company currently employs about 1,500 people in Malaysia and has invested RM600 million in research and development (R and D) since its inception.
Addressing the ongoing tariff tensions between China and the United States, Schroeder explained that the company remains unaffected due to its focus on producing IC substrates rather than final products. He stated, “Our operations in Austria, China, and now Malaysia are running and ramping up as planned. At present, the tariffs have no impact on our business.”