Tyntek Pours a $42.7 Mil. Investment in New Sensor Plant

Taiwan-based LED chip manufacturer Tyntek Corporation expects positive outlook of sensors, so it plans to invest NTD 1.2~1.3 billion (USD 42.7 million) to build a new factory. The new plant is expected to enter mass production phase in second quarter of 2018. The design capacity of the first period is estimated to be 30,000 6-inch wafers per month. 

(Image: Tyntek Corporation)

Tyntek gradually transits into manufacturing sensors and fiber-optic communication products. Its sensor sales occupied more than 40% of the overall revenue in 2016. In the sensor market circulates a mixture of various product types. Instead of product quantity, it emphasizes the capability of customization. Thus, the average product price is relatively stable. Tyntek's sensor revenue is expected to reach as high as 50% in 2017. In the mid or long term, sensor's revenue might rise to 60% or 70% of the company's revenue.

Tyntek's sensor is currently manufactured in its old 5-inch epitaxy wafer foundry. Orders for custimized sensors has booked most of the rest capacity in 2017, so Tyntek's utilization rate will stay high. After new capacity reaches mass production phase in 2018, the company’s revenue is expected to be continually pushed up. The new plant of Tyntek is its biggest investment in recent years. Its equipment and facilities cost about NTD 650 million (USD 21.3 million). The plant's equipment will be moved in and start running stage by stage in 2018. After the new plant starts to operate, it will give all-out effort to manufacture sensors and fiber-optic communication products.

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