Unimicron Technology is scheduled to break ground for a new plant in Taoyuan, northern Taiwan in July followed by equipment move-in a year later. The new facility is designed for the manufacture of IC substrates mainly for high-end CPU and GPU products, according to company president Maurice Lee.
Located in Yangmei, the new IC substrate plant is expected to come online in the second quarter of 2021, said Lee. The new plant construction is part of Unimicron's expansion project through 2022, Lee added.
Unimicron disclosed previously plans to invest a total of NT$20 billion (US$634.6 million) over the next four years in R&D and expanding production capacity for flip-chip (FC) and other high-end IC substrates to tap business opportunities arising from 5G, artificial intelligence (AI) and big data.
The new IC substrate plant will be fulfilling requests by some of Unimicron's major clients for additional supplies for high-end CPUs and graphics processors for 5G related devices, Lee indicated. The company provides ABF (ajinomoto build-up film) substrates for FCBGA (flip-chip ball grid array) and other high-end packaging.
In addition, Unimicron has set aside a capex of approximately NT$8.3 billion for 2019. About 60% of the capex will be spent on IC substrate production, according to the company.
Unimicron disclosed consolidated revenues surged 22.7% from a year earlier to NT$6.87 billion in May 2019. Consolidated sales for the first five months of 2019 increased 9.5% on year to NT$30.47 billion.