TI Opens New IC Assembly Facility In Malaysia

The company's Melaka expansion represents a potential investment of up to $1.2 billion

By Mark LaPedus

Continuing its efforts to build its own manufacturing capacity, Texas Instruments (TI) has opened a new IC assembly and test facility in Melaka, Malaysia.

TI’s Melaka expansion represents a potential investment of up to MYR 5 billion (US$1.201 billion). The new facility, called TIEM2, features advanced factory automation to bump, probe, assemble and test billions of the company’s analog and embedded chips annually.

Today, TI’s portfolio covers over 80,000 chip products. The company’s two biggest chip segments are analog and embedded. In fact, the Dallas-based company is the world’s largest supplier of analog chips.

Meanwhile, TI’s new six-level factory in Melaka – which is in production – spans more than 900,000 square feet. The new facility connects to TI’s existing Melaka assembly and test factory. The combined facilities now encompass more than 1.4 million square feet of manufacturing space.

The new facility will be equipped over time to align with demand for the company’s analog and embedded processing chips.

Today, TI has back-end manufacturing operations in Melaka, Kuala Lumpur and other locations. The new investment in Melaka advances TI’s plans to bring 90% of its assembly and test operations internal by 2030, strengthening the company’s internal manufacturing operations by owning and controlling its supply chain.

As part of those efforts, TI recently announced plans to invest more than $60 billion in wafer fabs in the United States. TI’s investments include seven 300mm fabs across three manufacturing mega-sites in Texas and Utah.

In total, TI has 15 manufacturing sites worldwide, including wafer fabs, assembly and test factories, as well as bump and probe facilities.