Chengdu Attracts IT Giants

Authors: China Daily

2014-12-19

Many other IT giants have invested in Chengdu and the Chengdu High-tech Comprehensive Bonded Zone is home to a number of leading IT companies, including Intel, Dell, Lenovo, Foxconn and Molex.
TI announced it will expand its manufacturing capacity in Chengdu with a 300 mm wafer bumping facility, at the Nov 6 opening ceremony for its seventh assembly and testing facility. That 33,260-square-meter facility in Chengdu Hi-Tech Zone is now in production.
TI has manufacturing operations throughout the world. Its 300 mm operations include the industry's first 300 mm analog wafer fabrication plant in Richardson, Texas, as well as a DMOS6 wafer fab in Dallas and bump operations in the Philippines and Dallas.
"The addition of this manufacturing process in Chengdu further increases TI's 300 mm analog capacity and its ability to support customer demand, marking another milestone in TI's development in China," said Larry Tan, president of Texas Instruments Asia.
The company entered the Chinese market 28 years ago. Its manufacturing investment in China began in 2010 with the opening of a 200 mm wafer fabrication plant in Chengdu.
"As the center for electronics and IT industries in western China and the region’s main driving force of growth, Chengdu will ensure TI's long-term success both in the city and in the country," Tan said, adding that Chengdu is a city "you never want to leave".
Kevin Ritchie, senior vice-president of TI's Technology & Manufacturing Group, said the company chose Chengdu to set up its manufacturing base in China because the city plays an irreplaceable role in China's western development strategy, and the local government offers a good investment environment and services.
"The Chengdu Hi-Tech Zone has been an excellent location for TI's manufacturing investments in China. We believe this region offers significant benefits to TI and the more than 100,000 customers we serve," he said.
Ritchie said TI also values the well-established infrastructure in Chengdu, as well as the talent resources available there for the electronics industry. "The comprehensive strength of the schools here, the training goals of those schools and the quality of their graduates are in line with the needs of TI," he said.
Chengdu has 52 universities, including Sichuan University and Chengdu Electronic Science and Technology University, with a total of 686,000 students enrolled. It is also home to 30 State-level research institutes, 10 key national laboratories and some 100 vocational and technical colleges.
Many other IT giants have invested in Chengdu and the Chengdu High-tech Comprehensive Bonded Zone is home to a number of leading IT companies, including Intel, Dell, Lenovo, Foxconn and Molex.
The Chengdu Tianfu Software Park has also attracted more than 400 companies, including IBM, GE, SAP, NEC, Philips, Siemens and Ericsson.
Forty percent of those companies are foreign-invested and 33 are Fortune Global 500 companies.
Since semiconductor giant Intel Corp set up a chip packaging and testing factory in the city in 2003, Chengdu has become a magnet for international IT companies.
It is widely considered the fourth pole of China's IT industry, after Beijing, Shanghai and Guangzhou, producing half of the world's laptop chips and two thirds of the iPads.
The Michelin Group, another Fortune Global 500 company and a world leader in tire technology and innovation, also attaches great importance to Chengdu.
The group recently held a global event — the 12th Michelin Challenge Bibendum — in Chengdu. It was the third time the event was held in China but the first time in western China.
Launched in 1998, the Michelin Challenge Bibendum brings together thousands of political decision-makers, industry representatives and scientists to discuss sustainable mobility challenges and solutions.
Jean-Dominique Sénard, CEO of the Michelin Group, said Chengdu has a solid foundation in the automobile industry and provides access to the huge western China market, making it a perfect place to hold the challenge.
"China is faced with problems in sustainable mobility along with the rapid economic development in recent years. As a representative for China's fast-developing cities, Chengdu is also of much research value," he added.
Sénard said he looks forward to further cooperation with Chengdu. "Our plan is to expand our business westward along with China's trend to develop the western region. Chengdu's solid industrial foundation in automobiles, airplanes and farm machinery, as well as rich customer resources, will offer us great opportunity."
"We already have factories in cities like Shenyang, Shanghai, and Anhui province. If we are to build a company in western China, Chengdu would be the first choice."
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