IBM to build $300 million state-of-the-art chip packaging facility in ChinaShangai 27 Oct 2000 IBM plans to invest $300 million to build an organic chip packaging manufacturing facility in Shanghai, China to support IBM's growing semiconductor business around the world. The facility is part of the recently announced $5 billion worldwide investment plan by IBM. The new facility will produce electronic cards and high technology chip carriers incorporating IBM's packaging technologies called Surface Laminar circuitry (SLC) and HyperBGA. The technologies are used in wired and wireless networking applications, Web servers and pervasive computing market segments.
"The establishment of the new packaging facility in Shanghai signifies a new phase in bringing advanced technology to China", stated Henry Chow, chairman and CEO of IBM Greater China Group. "With extensive partnerships, resources, and customer relationships already established, today's announcement is a further demonstration of IBM's commitment to support the rapidly expanding IT infrastructure in China."
Manufacturing of the organic packaging products will be based in a new IBM facility which will be established in Shanghai. With its unprecedented combination of advanced technology and production capability, IBM's plant in Shanghai is expected to offer new opportunities for employees and local communities, bringing jobs and added investment to the region.
Zhou Yu Peng, vice mayor of Shanghai, said the IBM plan is a concrete expression of IBM's commitment and cooperation with the Shanghai government to make Shanghai a leading high-tech city.
IBM is one of the industry's foremost suppliers of interconnect products and services, enabling a full spectrum of applications through packaged semiconductors to fully tested electronic assemblies. IBM semiconductor packaging products support high-frequency, high-bandwidth requirements
being driven by the Internet.
IBM's business in China dates back to the 1930s, when the company installed a business machine for a hospital in Beijing. In the 1980s, IBM opened representative offices in Beijing and Shanghai, followed in 1992 by establishment of the IBM China Company Limited, a wholly-owned subsidiary
of IBM World Trade Corporation. The IBM China Research Laboratory was established in Beijing in 1995. Today, IBM China has offices in 11 cities and operates eight joint venture companies in China.
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