US Tech Giant to Invest Millions in Israeli Chip Factory
Translated & summarized from Maariv by baba
UCT Israel, a subsidiary of US-based Ultra Clean Technology, will receive multi-million dollar investment for its Nof HaGalil facility to expand R&D and product development for the semiconductor industry. The investment aims to shorten product development cycles from over a year to about 60 days. The new capabilities are expected to be operational by the end of 2026, with initial products in early 2027. The company serves major global clients including NASA and Tesla.
The story in 5 lines · by baba
- UCT Israel will receive multi-million dollar investment from its US parent company for its Nof HaGalil facility.
- The investment aims to shorten semiconductor product development cycles from over a year to approximately 60 days.
- New development capabilities are expected to be operational by the end of 2026, with first products in early 2027.
- The Nof HaGalil facility employs about 650 people and serves global tech giants like NASA and Tesla.
- The expansion is driven by increased demand in the global semiconductor industry and AI acceleration.
UCT Israel, a developer and manufacturer of solutions for chip production equipment, has received approval from its US parent company for a multi-million dollar investment in its factory and development center in Nof HaGalil. The investment aims to expand the company's research and development activities, driven by growing demand in the global semiconductor industry and the acceleration of artificial intelligence.
This move follows the inauguration of development and testing labs at the Nof HaGalil campus last year, during the war, which involved an investment of tens of millions of shekels. The new funding will support the establishment of a dedicated facility for new product development and the expansion of engineering and development teams in Israel. UCT Israel currently employs approximately 650 people at its Nof HaGalil site, representing a diverse workforce.
The parent company, US-based Ultra Clean Technology, is a public entity specializing in semiconductors, employing around 7,000 people worldwide with annual revenues of approximately $2 billion. Ultra Clean Technology acquired the Israeli company, originally founded 75 years ago as "Ham-לט", in 2021. The Israeli operations have since become a global business unit within the group.
UCT's Nof HaGalil facility serves as a supply chain hub for global technology industries. Its clients include major companies such as Intel, Samsung, Tesla, SpaceX, NASA, and Rafael, as well as clients in critical infrastructure, energy, and defense sectors.
The new investment is intended to enhance the company's product development capabilities for the semiconductor industry, enabling it to shorten product development cycles from over a year to approximately 60 days. The new capabilities are expected to be operational by the end of 2026, with initial products anticipated in the first quarter of 2027. This strategic move aims to give UCT a competitive edge by allowing it to anticipate the needs of chip manufacturers and bring new solutions to market faster.