Groundbreaking ceremony for the world’s most advanced LED chip fabrication plant in Penang

New factory to expand the capacity of OSRAM Opto Semiconductors

Regensburg, (PresseBox) - In a joint groundbreaking ceremony on July 17, Tan Sri Dr Koh Tsu Koon, Chief Minister of Penang/Malaysia, and Dr. Rüdiger Müller today signaled the start of construction of an LED chip factory in Penang. By the spring of 2009 Penang will have the world’s most advanced chip factory, with a floor area of more than 30,000 square meters, to serve the booming LED market. With the expansion of its production capacity in its factory in Penang and the simultaneous expansion of the LED chip fabrication plant in Regensburg, OSRAM Opto Semiconductors is building on its position as the number two on the world LED market so it will be in an even better position to meet growing demand for LEDs far into the future. As a leading innovator, OSRAM has one of the broadest portfolios of patents on the market. Expansion of its production capacity is a clear signal that it is on course for sustained growth in the exciting LED market.

The factory in Penang will operate in addition to the main plant in Regensburg to manufacture LED chips in state-of-the-art nitride technology. OSRAM is investing millions of euros in the new factory. The total investment here is in high double figures. In addition, the capacity of the existing LED assembly line in Penang, which started operation back in 1972, will be increased by more than 50 percent. This will lead to the creation of over 800 new jobs in the long term and bring the total number of jobs to more than 3000, making OSRAM one of the largest employers in the northern region.

Dr. Rüdiger Müller said: “Today marks the beginning of a new era in more than 30 years of cooperation between OSRAM and Penang. We are delighted to be further strengthening our partnership today at this groundbreaking ceremony and to be embarking on a new chapter in our shared success story. In constructing this LED chip factory here in Penang, OSRAM is for the first time exporting central strategic technology know-how to another market outside its home country of Germany. This is only possible because our many years of cooperation have meant that we have the utmost trust in the quality, motivation and skills of the local workforce and authorities. Regensburg will continue to be our main site where we will concentrate our know-how and benefit from having our research and development facilities so close to our production line.

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