Posted Mar 18, 2017, 6:04 PM
Join Date: Jun 2010
NXP to invest NT$250M in the first Asia product quality test center in Kaohsiung
City: Kaohsiung 高雄 가오슝 เกาสง
Country: Taiwan 台湾 대만 ไต้หวัน
The center is the first in Asia to test the company’s in-house manufactured semiconductor wafer, chips, and package products.
It will also be the first center in Taiwan that tests semiconductor products from all phases of production
NXP to invest NT$250M in Asia product quality test center in Kaohsiung by 2019
NXP Semiconductor aims to invest NT$250M in product quality test center in Kaohsiung by 2019
By Judy Lin,Taiwan News, Staff Reporter
(Taiwan News)—Dutch semiconductor company, NXP Semiconductors, intends to scale up investments to a total of NT$250 million (US$8.14 million) in its Asia product quality test center situated in Kaohsiung City by 2019.
The leading international automotive chip company has already invested a total of NT$150 million to expand its product quality test center in the Nantze Export Processing Zone (楠梓加工出口區) as of 2017 through a five-year project initiated about three years ago, said Tommy Huang, Failure Analysis Manager at NXP’s product quality center in Kaohsiung.
Huang estimated the company spent nearly NT$60 million over a period of three years to procure precision instrument equipment that cost about NT$20 million-30 million per instrument, such as transmission electron microscopes.
Having established its presence in Taiwan’s semiconductor industry for 50 years, NXP Semiconductor took into consideration the nation’s strong semiconductor background, geographic proximity to other Asian countries, and talent pool when expanding its test center.
The center is the second product global center that NXP has founded, and the first in Asia to test the company’s in-house manufactured semiconductor wafer, chips, and package products for automotive applications including radar for automated driving, sensors for IoT, security and other applications.
It will also be the first center in Taiwan that tests semiconductor products from all phases of production, from wafers to end products unlike most local semiconductor companies that are only focused on one stage of manufacturing such as IC design, epitaxal growth, or packaging, said Huang.
"We will be testing mostly advanced semiconductor package products at the center in Taiwan," he added. "We will also be testing some products from other Asian countries or global markets."
An annual quota of 400 reliability product tests will be set at the center, and about 5,000 for product failure analysis, he added. Reliability tests are required before most semiconductor products can be sold on the market.
"If NXP headquarters decides to outsource semiconductor chip production to Taiwanese foundries, such as TSMC, United Microelectronics Corporation, and ASE group they can run chip test assessments at the center," he added.
The Dutch semiconductor company currently employs 100 staff at the product quality center, and intends to hire another 50 employees with graduate or post doctorate degrees by 2019.
NXP employs 2,270 workers in Taiwan out of its global workforce of 25,000.
The Kaohsiung City government provided NT$3 million subsidy to build NXP’s product quality center, said Wu Ta-Chuan (吳大川), Director of Export Processing Zone Administration of Ministry of Economic Affairs (MOEA).
The administration is also assisting NXP’s logistics in Taiwan, and other business operations as part of the ministry’s efforts to transform the export processing zone in Kaohsiung into a high tech hub, said Export Processing Zone Administration’s Director General Wen-guu Huang (黃文谷).
Spun-off from Dutch electronic conglomerate Philips in 2006, NXP was acquired by Qualcomm last October for US$47 billion to expand its automotive chip business. The acquisition deal is still undergoing review by The Committee on Foreign Investment in the United States (CFIUS).