KULIM: Austrian chipboard manufacturer AT&S's RM5 billion facility at the Kulim Hi-Tech Park (KHTP) is ready to commence high-end Integrated Circuit (IC) substrate production to support AMD's high-performance processors, among other clients.
The world's fifth-largest modern IC substrate producer said the launch of its Kulim Campus will accelerate its ambition to become one of the top three global players in the industry.
"This is likely a new world record. Commencing high-volume production is not only a major milestone for AT&S but also a significant step forward for Malaysia.
"By introducing high-end IC substrate technology to Kulim, we aim to contribute to Malaysia's economic and technological development sustainably," said AT&S's Microelectronics Business Unit executive vice president Ingolf Schroeder.
He added that AT&S's substrate production for AMD at the Kulim Campus is expected to grow steadily in response to increasing demand for Computer Processing Units (CPUs) and Graphics Processing Units (GPUs), particularly in the fields of data centres, Artificial Intelligence (AI), Virtual Reality (VR), and Augmented Reality (AR).
"With the expected exponential growth in data volume, the demand for data storage, transmission, and analysis continues to surge.
"AT&S is a sought-after technology partner, and we anticipate significant growth in our customer base at the Kulim plant, with more high-profile clients expected to come on board during this financial year," he said at a press conference to announce the Kulim plant's High Volume Manufacturing accreditation from AMD today.
Schroeder said AT&S is benefiting from a strategically integrated "substrate triangle", consisting of its facilities in Chongqing (China), Kulim (Malaysia), and Leoben (Austria).
"Expertise, technologies, and research are constantly being shared and refined across these three sites, enabling each plant to reach its full potential," he said.
He emphasised that AT&S is not directly affected by the reciprocal tariffs imposed by the United States.
"Firstly, we are not – and not only in Malaysia – impacted by the tariffs, as we do not supply final products. We are unaffected by any such tariffs. Our operations in Kulim are ongoing and expanding, as are those in Austria and China," he explained.
AT&S Malaysia has invested RM600 million in research and development (R&D), equipping the 255,000 square metre plant with 500 high-tech machines.
"We are employing around 1,500 local workers and have invested RM600 million in R&D.
"AT&S collaborates closely with CREST (Collaborative Research in Engineering, Science & Technology) and the Investment, Trade and Industry Ministry under Malaysia's National Semiconductor Strategy (NSS).
"We are already giving back significantly to Malaysia's tech ecosystem. High-end manufacturing requires substantial investment, and we are grateful for the strong and reliable partnerships we've established with local institutions. Together, we will shape the future of microelectronics," said Schroeder.
Meanwhile, AT&S Malaysia senior vice president and managing director Suan See Yap attributed the plant's achievement in securing AMD's final manufacturing certification to the dedication of its workforce.
"In the process, we have also obtained ISO certifications, including 9001, 14001, 27001, 45001, and 50001.
"We currently have around 1,448 employees – 883 blue-collar and 565 white-collar staff," she said.