en.Wedoany.com Reported - Austrian printed circuit board and semiconductor packaging substrate manufacturer AT&S (AT&S Austria Technologie & Systemtechnik AG) announced on June 15, 2026, that it will invest up to €2 billion (approximately $2.3 billion or RM9.3 billion) in its Kulim factory in Kedah, Malaysia, to significantly expand artificial intelligence chip substrate capacity. Boosted by this news, AT&S's stock price on the Vienna Stock Exchange surged nearly 30% that day, hitting a record high of €200 during trading.

Founded in 1987 and headquartered in Leoben, Austria, AT&S is one of the world's leading manufacturers of high-end semiconductor packaging substrates and printed circuit boards, with multiple production bases in Europe and Asia. This expansion is based on the successful production launch of the Kulim Plant 1, involving the renovation of existing structures in Plant 2 and the construction of a new manufacturing base for producing IC substrates and advanced printed circuit boards. AT&S CEO Michael Mertin stated that the company will fully expand the Kulim factory.

This expansion is based on long-term supply agreements AT&S has reached with U.S. chipmaker AMD and another global leading technology company. AT&S did not disclose the name of the second customer, but industry sources believe it to be Intel. Mertin revealed that AT&S expects to have at least five leading U.S. high-tech companies as core technology partners for the Kulim base in the future. The funds for this investment will be fully secured and financed by customers' long-term procurement commitments.

Driven by this positive development, AT&S has significantly raised its revenue growth forecast for the 2026/27 fiscal year from the previously adjusted 30% to 35% (on a currency-adjusted basis) to 45% to 55%, and its EBITDA margin forecast for the same period from 25% to 29% to 32% to 37%. According to Reuters, the company may suspend dividend payments for the current and next fiscal years to raise construction funds.

This expansion is a key initiative in AT&S's medium to long-term strategic layout, targeting structural opportunities in the high-end packaging substrate market for artificial intelligence. Advanced substrates have become a critical bottleneck in the AI chip supply chain, and AT&S is one of the few global suppliers capable of producing the advanced substrates required for AI chips. Malaysian Prime Minister Anwar Ibrahim stated that this expansion will further solidify Malaysia's position as a high-tech investment destination and create high-skilled job opportunities locally.

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