The rapid #technology advancements in #semiconductor industry is leading to unprecedented intensification of #capital expenditure on the most #cutting-edge technologies (process, materials, etc.). Case in point being the huge spending (past & planned) by players like #TSMC, #Samsung & #Intel.
But this is actually relevant for players across the entire semiconductor #supplychain including #OSAT business. Historically, companies with the highest level of #CAPEX have also been the ones that were able to lead technology development & production. In fact, we have invested upwards of MYR 930+ million since 2017 towards technology development (#SiC, #5G, #sensors), capacity augmentation, #automation, #employeeengagement & safety, and very importantly on manpower #upskilling. This is enabled by a consistently strong net #cash position – MYR 918 million as of Oct-Dec ’20 quarter.
Going forward, more than ever before, this capability to consistently make significant #strategic #investments will determine the companies that will not only survive but also continue to win in the leading edge portion of the exploding semiconductor market.
Good read: https://www.icinsights.com/data/articles/documents/1354.pdf
#Carsem
