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OSRAM Opto Semiconductors Breaks Ground in Penang for the World’s Most Advanced LED Chip Factory New facility to expand global production capacity for company

Jul 18, 2007

Osram Sylvania

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SANTA CLARA, Calif.--(BUSINESS WIRE)--To meet the growing global demands of the burgeoning light-emitting diode market, OSRAM Opto Semiconductors, a world leader in LED technology, broke ground today for what will be the world’s most advanced LED chip factory in Penang, Malaysia. The joint ceremony, led by Dr. Rüdiger Müller, CEO of OSRAM Opto Semiconductors, and Dr. Koh Tsu Koon, Chief Minister of Penang/Malaysia, marked the beginning of construction for the 30,000 square meters factory. The new facility is expected to open in the spring of 2009.

“We are delighted to continue strengthening the partnership today between OSRAM and Penang, one that has flourished for 30 years. The groundbreaking ceremony today begins a new chapter in our shared success story,” Dr. Müller said. “With the construction of the new LED chip factory in Penang, OSRAM is, for the first time, exporting central strategic technology know-how to another market outside of its home country of Germany. Our many years of partnership have meant that we have the utmost trust in the quality, motivation skills of the local workforce and authorities.”

The factory in Penang will operate, in addition to OSRAM’s main plant in Regensburg, Germany, to manufacture LED chips with state-of-the-art nitride technology. Additionally, the capacity of the existing LED assembly line in Penang, which began operation in 1972, will be increased by more than 50 percent. This expansion will create more than 800 new jobs in the long term, bringing the total number to more than 3000, which will make OSRAM one of the largest employers in the northern region of Malaysia.

The increased production capacity of the new factory in Penang, along with the expansion of the company’s LED chip plant in Regensburg, Germany, will reinforce OSRAM Opto Semiconductors’ standing as the second largest manufacturer of LEDs in the world, and position it to meet the growing demand for LEDs far into the future.

OSRAM employs around 40,000 people worldwide, supplies customers in 150 countries, and has 49 production facilities in 18 countries.

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