US Tech Firm Announces Plans to Invest £1bn in Newport, Creating Hundreds of Jobs
In a significant move for the tech industry, US tech giant Vishay Intertechnology has revealed its intentions to invest a substantial £1bn in Newport. This investment is part of the company’s vision to create hundreds of new high-skilled jobs in the area. The decision comes after Vishay acquired the Newport facility from Nexperia in a deal worth £150m last year.
The initial phase of the investment will see Vishay inject £51m into the Newport foundry, with £5m of the funding coming from the Welsh Government. This investment is aimed at transforming the facility into a world-leading plant for compound semiconductor silicon carbide. These semiconductors play a crucial role in enabling electric cars and wind turbines to operate more efficiently, with speeds up to 100 times faster than traditional chips.
Vishay’s plans for the Newport operation include the introduction of new silicon product lines to support the automotive industry’s shift towards electrification. The company is also seeking an additional £52m in funding from the UK Government’s Automotive Transformation Fund to further develop silicon carbide and gallium nitride technologies. If approved, this funding will pave the way for the creation of the UK’s first automotive center of excellence at Newport.
The investment is expected to not only safeguard the existing 490 jobs at the plant but also lead to a significant increase in staffing numbers, with projections indicating 900 jobs by 2030. These new roles are anticipated to offer salaries 50% higher than the regional average, providing a significant economic boost to the area.
In addition to its focus on automotive technology, Vishay is exploring opportunities in sectors such as defence, aerospace, and renewable energy. The company aims to leverage its global expertise to support these industries from its Newport facility. By expanding its presence in these sectors, Vishay hopes to strengthen the compound semiconductor cluster in south Wales, known as CS Connected.
Welcoming the investment, Roy Shoshani, Vishay’s Chief Technology Officer, highlighted the strategic importance of investing in semiconductor technology. He expressed excitement about driving Wales’ economic future and reiterated the company’s commitment to its long-term plans for the Newport site. Welsh Government officials have also praised the investment, recognizing the growth potential of compound semiconductors and their contribution to the modern world.
To bolster the compound semiconductor cluster in Wales, the Welsh Government recently acquired the Centre 7 office building in Cardiff Gate Business Park. The building has already attracted interest from high-tech firms, further solidifying Wales’ position as a hub for semiconductor innovation.
The planned investment by Vishay represents a major milestone for Newport and the wider tech industry. With a focus on cutting-edge technologies and job creation, the project is set to position the UK as a global leader in semiconductor manufacturing and research. As the industry continues to evolve, partnerships between government, industry, and academia will play a crucial role in driving innovation and economic growth.