AT&S, a global technology company and leading manufacturer of high-end IC substrates, and Marvell Technology, a provider of data infrastructure semiconductor solutions, have announced an expansion of their collaboration to boost advanced IC substrate capacity for next-generation AI and cloud infrastructure. The long-term agreement builds on the companies' existing relationship and supports Marvell's growing demand for advanced substrates as AI deployments continue to scale. This development matters because it directly addresses the critical need for more sophisticated semiconductor packaging as AI systems become larger and more complex, ensuring that supply chains can keep pace with the rapid adoption of AI technologies.
The agreement represents the next phase of the strategic collaboration between AT&S and Marvell and underscores the growing importance of advanced IC substrate technologies as semiconductor designs become larger and more complex. Marvell Technology is the additional customer identified in AT&S's previously announced expansion of its Kulim manufacturing site. That expansion includes the fit-out of Plant 2 and the construction of a new manufacturing facility for IC substrate cores and advanced packaging. Supported by long-term customer commitments, the investment will provide additional capacity to meet growing demand for advanced IC substrates and packaging. Such investments are crucial because they provide the necessary infrastructure to support the semiconductor industry's shift toward chiplet-based designs and heterogeneous computing architectures, which are essential for AI accelerators and high-performance computing.
Michael Mertin, CEO of AT&S, said, "Today marks an important milestone in our relationship with Marvell Technology. At AT&S, we are focused on enabling our customers' success through leading-edge technology, manufacturing excellence, and long-term partnerships. Marvell Technology is one of the semiconductor industry's leading innovators in AI and data infrastructure, and together we are well positioned to capture the significant opportunities created by the global build-out of AI infrastructure. This partnership reflects our shared ambition to drive innovation, create value, and achieve long-term success in the market."
Vinay Krishna, Senior Vice President and Chief Supply Chain Officer at Marvell Technology, added, "As our data center business continues to expand, securing the manufacturing capacity and advanced technology capabilities required to support our customers remains a critical priority. Our expanded collaboration with AT&S further strengthens our supply chain foundation and positions us to scale increasingly complex semiconductor solutions, helping us meet the significant growth opportunities driven by the rapid adoption of AI infrastructure."
The expansion comes as growing investment in AI infrastructure drives significant demand for more advanced semiconductor technologies. As AI systems become larger and more complex, semiconductor architectures are evolving to deliver greater performance, power efficiency, and scalability. The transition from monolithic chips to chiplet-based designs is increasing the need for advanced substrate technologies across a broader range of semiconductor solutions, including custom accelerators and increasingly complex heterogeneous computing architectures. At the same time, customers are placing greater emphasis on performance, power efficiency and system-level optimization. These trends are driving demand for larger substrate formats, higher integration density, increased layer counts, and faster innovation cycles, all of which play directly to AT&S's technology strengths.
The expansion in Kulim is supported by long-term customer agreements that provide visibility for future growth while supporting a disciplined investment strategy. Gerrit Steen, CFO of AT&S, said, "The agreements supporting this expansion provide a solid foundation for our growth strategy and allow us to invest alongside our customers in the technologies and production capabilities required for the AI era. We remain committed to creating long-term value while maintaining financial flexibility and a strong balance sheet."
AT&S Austria Technologie & Systemtechnik Aktiengesellschaft - Advanced Technologies & Solutions is a global technology company and leading manufacturer of high-end IC substrates and complex printed circuit boards. AT&S develops and produces leading-edge interconnect technologies for key digital industries: AI infrastructure, high-performance computing, mobile devices, automotive, aerospace, industrial and medical technology. With production sites in Austria (Leoben, Fehring), China (Shanghai, Chongqing), Malaysia (Kulim), India (Nanjangud) and a European competence center for R&D and IC substrate production in Leoben, AT&S is actively shaping the digital transformation - through forward-looking investments in research and development and the responsible use of resources. The company currently employs around 15,000 people. Further information can be found at www.ats.net.
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