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Dom> Blog> Osram's most modern LED chip factory operates on schedule to expand LED assembly capabilities

Osram's most modern LED chip factory operates on schedule to expand LED assembly capabilities

February 28, 2023

At present, the LED chip is in short supply, and the expansion of the LED chip factory continues to spread. It is reported that the OSRAM Malaysia factory is officially operating. Osram is currently seeking global investment to expand LED chips in various places.

Osram announced today that its new LED chip factory in Kulim, Malaysia has started operations as scheduled. Olaf Berlien, CEO of OSRAM Group, said at the opening ceremony of the factory: “The Kulim factory is on schedule and completed on schedule. The OSRAM LED business has achieved a high growth rate of 19% in the near future. We are very pleased to further expand the new under this momentum. Capacity. The investment in Kulim also demonstrates our efforts to transform the technology and transform into high-tech companies: a decade ago, traditional lighting accounted for 80% of OSRAM's business; today, two-thirds of OSRAM's sales Both come from optoelectronic semiconductor-based businesses."

In November 2015, OSRAM announced the establishment of a new LED chip factory in Kulim, which is scheduled to be completed and put into operation by the end of 2017. This is an important part of OSRAM's “Diamond” innovation and growth plan. Today, this modular, expandable plant is operational, and the related plan has only been announced for two years, only a year and a half after the factory broke ground. As of the completion of the first phase of the plant, OSRAM invested a total of 370 million euros. Next, the plant will also undergo a two-stage expansion with a total investment of 1 billion euros, including expanded LED assembly capabilities in the OSRAM Global Factory Alliance.

Osram's most modern LED chip factory operates on schedule to expand LED assembly capabilities

Aldo Kamper, CEO of OSRAM Opto Semiconductors, stressed that the Kulim plant has a very high productivity. “The Kulim factory can produce street lighting for New York, Rio, Hong Kong and Berlin in a week. "If you want to upgrade the street lighting of the whole world to LED, the Kulim factory only needs to produce it for 5 and a half years. LED lighting can save nearly 80% compared to traditional street lighting. In addition, LED lights have better color stability and light and dark adjustment speed, when the street is empty, the lighting brightness can be reduced accordingly.

The blue LED chip produced by the OSRAM Gulin plant produces white light through the conversion layer. The chip can be used for general lighting (such as the public street lighting mentioned above), as well as for special applications such as building facade lighting, private and commercial interior and exterior lighting, billboard lighting, and plant lighting. By 2018, the global LED general lighting market is expected to reach 6 billion euros, of which about 6% for street lighting. It is estimated that by 2020, the market will grow at an average annual rate of 7%. In 2018, the overall market size of optoelectronic components (including general lighting) will reach 17.5 billion euros.

After the completion of the second phase of the Kulim plant, OSRAM also plans to produce LED chips for high-end applications such as automotive lighting and video projection in Kulim. The location of the factory is located above a green space, so there is a high degree of freedom in design. In addition, the new plant represents the latest technology. Compared to 4-inch technology, the 6-inch wafer production system can produce 125% more LED chips per wafer in a single cycle.

Osram's most modern LED chip factory operates on schedule to expand LED assembly capabilities

OSRAM is currently investing globally to expand six of its LED production networks. As a result, OSRAM is also expanding its Regensburg plant, which currently employs 2,500 people and is planning to hire 1,000 people. The plant produces advanced LED chips and laser diodes for high-quality automotive headlights, as well as infrared diodes for sensors. These sensors can be applied to face recognition in mobile phones or to car smart assist systems (such as distance control).

In addition, OSRAM will expand its plant in Schwabming, Germany. In the future, OSRAM will produce LED raw materials in the clean room of the plant. In Exeter, the US has another facility in Osram that produces LED components. In Wuxi, China, OSRAM is improving the back-end capabilities of assembling chips into LED products, such as LED housings and some of the major optical components. In Malaysia, there are also LED chips in the Penang factory near Kulim.


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