- It aims to achieve mass production at full capacity in 2025
- It will provide high-end packaging and testing services for chips used in 5G communications and artificial intelligence applications
As per a report by Taiwannews, Hon Hai Precision Industry Co has expanded its plans to enter the semiconductor industry by setting up a high-end integrated circuit packaging and testing plant in Qingdao of China. The report also said that it is expected to begin production in 2021, in the global market. It aims to achieve mass production at full capacity in 2025. The report also added that the market has estimated the Qingdao IC packaging and testing plant will cost Hon Hai about 60 billion Chinese yuan ($8.57 billion).
The report said that it will provide high-end packaging and testing services for chips used in 5G communications and artificial intelligence applications. It added that this move sits well with Hon Hai Chairman Liu Young-way’s vision. He had the company’s goal to achieve a technology upgrade by entering emerging technology development like ca.s, digital medical care, and robots. The report said that Liu said Hon Hai has intensified its development of semiconductor, AI, and new generation communications technology.
Invest $16.93 million in an IC packaging and testing firm
As per the report, Hon Hai has already put its money in 3D chip packaging and testing services and other advanced processes like Panel Level Packaging (PLP) and System in a Package (SIP) for 8K TV use. The report said that according to Hon Hai, it has secured approval from Taiwan’s Investment Commission to invest $16.93 million in an IC packaging and testing firm located in southeastern China’s Shenzhen city.
The report also said that Hon Hai signed a strategic cooperation agreement with the government of Zhuhai city in August 2018 to create closer ties in semiconductor development like including IC design and change the city into a semiconductor development hub.
