April 29, 2024 /SemiMedia/ --According to reports, IBM plans to invest more than 1 billion Canadian dollars (approximately 730 million U.S. dollars) to expand its semiconductor packaging and testing factories in Canada over the next five years.

IBM's 800-acre site in Bromont, Quebec, Canada, about 50 miles east of Montreal, focuses on advanced semiconductor components and is the largest of its kind in North America.

Jamie Thomas, general manager of IBM Technology Lifecycle Services, said in an interview that even if we produce processors in factories in the United States or Canada, we have to send them to other regions for packaging. What we need is a complete onshore supply chain.

Thomas confirmed that IBM's C$1 billion Bromont growth plan will take place between now and 2029. After months of negotiations with the Canadian government, IBM announced on April 26 an initial phase of creating 280 technology jobs. The first phase is an investment worth C$227 million and includes IBM partner MiQro Innovation Collaboration Center, which will expand the existing Quebec factory and establish an R&D laboratory.

Thomas said this announcement is a key part of supporting our growth. According to the statement, the governments of Canada and Quebec will provide a total of approximately C$100 million in funding for the first phase.