Nokia invests US$30 million to expand semiconductor factory

Nokia will expand its semiconductor advanced testing and packaging operations in Allentown, Pennsylvania, with an investment of approximately $30 million.

The company stated that the measure will increase its production capacity by up to 10 times the current level, through new equipment and a larger area. The new capacity is expected to be available by the end of the third quarter.

Nokia's approximately $30 million commitment includes about $4 million in assistance from the state of Pennsylvania and about $10 million in investment tax credits under the US Chip Act of 2022.

The expansion will also nearly double Nokia's workforce in the state to more than 500 people, and the company projected it would generate an economic impact of more than $500 million over the next five years, the company said on Tuesday.

"The AI (artificial intelligence) supercycle is fundamentally reshaping networking and infrastructure requirements in the US and globally," said Nokia CEO Justin Hotard.

Copasa: contract with BH enables investments in municipalities in Minas | MONEY NEWS

"Our expansion in Allentown is a direct investment in that future - scaling domestic manufacturing of the optical networking technologies that power AI infrastructure."

Nokia announced a multi-year plan to invest $4 billion in manufacturing and research and development in the US.

Source: Dow Jones Newswires.

Content translated with the help of Artificial Intelligence, reviewed and edited by the Broadcast editorial team, Grupo Estado's real-time news system.

PLDO 2027: Government predicts minimum wage at R$ 1,717

Source: CNN