STMicroelectronics revaluation China

Flying from STMicroelectronics (ST) the world's largest factory is located in Shenzhen, two hours to reach Shanghai, here is the location of ST China district. After ten hours of journey, you can reach london. Where ST is holding a global investor conference. One of the most important agenda of the meeting is to re evaluate Chinese in their development orientation strategy in the past, China is ST largest production base, and now has become their largest and most potential market.

At the May 23rd global conference, China was one of the most talked about words. To a large extent, this is due to Bob Krysiak. Under the leadership of the president of the Greater China region, the Chinese market in the past year has achieved 36% of the dazzling growth, China's contribution to the ST's revenue has reached 25% - only after the company headquarters in europe.

Even if it is conservatively estimated that China will become the world's largest semiconductor market by 2010 - in fact, it may actually be up to 2007, Bob said. And ST's goal is to become the first in this market.

Bracey is located in a large R & D lab, there are about 200 engineers in this work. This is a DVD set-top box with the top R & D center, which has a lot of products related to china. ST has access to China's own standard low-cost high-definition video player EVD authorized by the end of the year can come up with related products. The center will also play an important role in the process of converting analog TV to digital TV in china.

In the past few years ST's strategy, China's weight is continuing to increase investment in China is a proof. Last year, ST and a South Korean company jointly invested $2 billion to set up a front-end crystal garden factory in Wuxi, this year, ST is located in Shenzhen, Longgang, the end of the packaging plant broke ground, the investment of $500 million.

Earlier this year, ST announced the establishment of Greater China headquarters in Shanghai, and plans to spend $10 million to build the headquarters building, which is also the location of ST R & D center in china. Before, ST Shenzhen has a joint venture in Shenzhen saiyifa factory factory a large cumulative investment of $450 million, according to the production capacity (20 million / day) to plan, it is the world's largest semiconductor factory. In the field of mobile phone camera module, ST has become the world's first.

Bob said the 2006 fiscal year, the company plans to achieve a growth of two digits. "This means that China will have to grow even higher," he said. The general manager of Shenzhen saiyifa gold in a factory added, "more than 30% of the existing share of Europe, let Chinese become the largest market for ST".