AT&S starts high volume manufacturing at new plant in Kulim, Malaysia

• Approx US$1.2 billion has been invested in the Kulim campus to date
• Campus was built in two years & began high-volume production a year later

AT&S Austria Technologie & Systemtechnik (Malaysia) Sdn Bhd is ready to begin high-volume manufacturing at its new campus in Kulim Hi-Tech Park, Kedah. The facility will produce high-end integrated circuit (IC) substrates for AMD’s data centre processors and other customers.

Located around 350 kilometres north of Kuala Lumpur, the Kulim campus was completed in record time. According to Ingolf Schroeder, (pic) executive vice president of the business unit microelectronics at AT&S, the campus was built in just two years, and one year later, is already ready for high-volume production. He noted that this may be a world record and marks a major milestone not only for AT&S but also for Malaysia.

He added that by introducing high-end IC substrate technology to Kulim, AT&S is contributing to Malaysia’s economic and technological development in a sustainable way. The company is on track to become one of the world’s top three IC substrate providers, with Kulim expected to be a key growth contributor and a strategic base in Southeast Asia.

AT&S now benefits from what it calls a “substrate triangle”, with operations in Chongqing, China; Kulim, Malaysia; and Leoben, Austria. The company shares know-how, technology, and research across these locations to maximise the potential of each plant.

AT&S’s substrate production for AMD at Kulim Campus is projected to grow healthily due to rising demand for CPUs and GPUs for datacenters, AI, VR and AR technologies. With the expected exponential increase in data volume, the demand for data storage, transmission and analysis is robust. AT&S is a sought-after technology partner and the number of customers for the Kulim plant will grow significantly, with additional high-profile clients joining this financial year.

AT&S Malaysia highlighted that Kulim’s strong infrastructure and deep talent pool make future expansion highly feasible. The company currently employs around 1,500 people and has already invested US$139 million (RM600 million) in research and development. More than 5,000 students have participated in its employer branding roadshows. AT&S also works closely with Collaborative Research in Engineering, Science & Technology and the Ministry of Investment, Trade and Industry as part of Malaysia’s National Semiconductor Strategy.

“We are contributing significantly to Malaysia’s tech ecosystem. High-end manufacturing requires substantial investment, and we are pleased to have resilient and trustworthy partnerships with local institutions to help shape the future of microelectronics together,” said Schroeder.

According to AT&S, approximately US$1.2 billion (RM5 billion) has been invested in the plant and administrative buildings to date for the overall Kulim campus. In its first plant, AT&S produces advanced substrates for the renowned semiconductor company AMD. The gross floor area is approximately 255,000 square metres and houses around 500 high-tech machines.

“This is a significant achievement in the history of AT&S, as we have successfully reached the milestone of high-volume manufacturing at the Kulim campus. Over the past three years, the team in Kulim has worked tirelessly to secure the necessary product qualifications, plant approvals, and ISO certifications,” said Suan See Yap, senior vice president and managing director for Malaysia country management.

“We have earned the status of ‘Certified HVM Site’ from AMD and are proud of the contributions of our Kulim employees. They are the true enablers of this success story,” she added.