KLA Invests in Operations in Wales with the Opening of a $138 Million R&D and Manufacturing Facility

Rhea-AI Summary

KLA Corporation (NASDAQ: KLAC) has unveiled a new $138 million R&D and manufacturing facility in Newport, Wales. The 237,000-square-foot complex features 25,000 square feet of R&D clean rooms and 35,000 square feet of manufacturing space, designed to support semiconductor process technologies development. The facility, with capacity for 750 employees, builds upon SPTS Technologies' presence in Wales since 1984. The expansion aims to meet growing demand for advanced chips, particularly driven by AI, and will focus on advanced packaging, power devices, MEMS, RF, and photonics sector technology. This investment strengthens Wales' position as a compound semiconductor cluster and follows the U.K. Government's £5 million commitment to building the talent pipeline in this sector.

Positive

• Major $138 million investment in R&D and manufacturing capabilities
• Facility can accommodate 750 employees, indicating significant expansion potential
• Strategic positioning to meet increasing demand driven by AI and advanced chips
• Expansion of clean room and manufacturing space to enhance production capabilities

Negative

• None.

Insights

Semiconductor Industry Analyst

KLA's $138M Wales facility strengthens manufacturing capabilities and R&D capacity to capitalize on growing semiconductor demand driven by AI.

KLA's $138 million investment in the new Newport facility represents a strategic expansion of the company's global manufacturing and R&D footprint. This 237,000-square-foot complex significantly enhances KLA's production capabilities with 35,000 square feet of manufacturing space and 25,000 square feet of R&D clean rooms. The facility's design specifically supports the development of semiconductor process technologies across multiple high-growth segments including advanced packaging, power devices, MEMS, RF, and photonics.

This investment builds upon KLA's 2019 acquisition of SPTS Technologies, which has operated in Wales since 1984. The timing is particularly strategic as the semiconductor industry faces unprecedented demand driven by AI applications, which require increasingly sophisticated chips. By expanding capacity for up to 750 employees, KLA is positioning itself to capitalize on these market trends while strengthening its innovation capabilities.

The facility's focus on both manufacturing and R&D reflects KLA's integrated approach to semiconductor equipment, combining process technology with process control solutions. This comprehensive strategy gives KLA a competitive advantage in addressing complex customer requirements across the semiconductor value chain. The investment also demonstrates confidence in the Welsh semiconductor cluster, leveraging the region's technical talent pool and established innovation ecosystem.

New complex builds on decades of SPTS Technologies' semiconductor equipment innovation

MILPITAS, Calif., May 22, 2025 /PRNewswire/ -- KLA Corporation (NASDAQ: KLAC), a global leader in semiconductor process control and process-enabling technology, today announced the opening of its new $138 million research and development (R&D) and manufacturing center in Newport, Wales, U.K., continuing the company's history of regional investment. SPTS, KLA's Wales-based product division, has been leading semiconductor equipment innovation in Wales since 1984, winning multiple Queen's Awards for excellence in R&D and export, and attracting strong technical talent to the region.

KLA added the SPTS etch and deposition product lines to its portfolio in 2019, bringing complementary technologies, solutions and services together, and increasing the company's capacity to deliver for customers across the semiconductor industry. Reflecting the portfolio strength and growing customer demand, the new 237,000-square-foot Newport facility provides additional production and customer collaboration spaces, including 25,000 square feet of R&D clean rooms, 35,000 square feet of state-of-the-art manufacturing space and tool demo areas, all designed to support development of semiconductor process technologies across advanced packaging, power devices, microelectromechanical systems (MEMS), radio frequency (RF) and photonics sector technology.

"KLA brings together expertise in process and process control, providing customers with the breadth and depth they need to innovate and improve device performance," said Dan Collins, site leader and general manager at KLA. "As industry drivers like AI increase demand for advanced chips, our expansion in Wales and strong product portfolio position us to meet that demand—building on our rich history and investing in new technology, talent and long-term community partnerships."

With capacity for 750 employees, KLA's new facility is expected to support the continued growth of the electronics ecosystem, serving as a center of engineering and manufacturing excellence, as well as an anchor for the larger community.

"We have a globally renowned compound semiconductor cluster here in Wales and the U.K. Government recognizes that this industry is a key driver for economic growth, and the U.K. Government has recently announced nearly £5 million to help build the talent pipeline," Secretary of State for Wales Jo Stevens explained. "KLA's investment in this new facility further strengthens our position as a leader in this vital and growing industry. Today's announcement is a celebration of KLA's commitment to innovation and to Wales as a growing hub of technological excellence and leadership."

To learn more about KLA's latest advancements and investments, please visit www.kla.com.

About KLA: 
KLA Corporation ("KLA") develops industry-leading equipment and services that enable innovation throughout the electronics industry. We provide advanced process control and process-enabling solutions for manufacturing wafers and reticles, integrated circuits, packaging and printed circuit boards. In close collaboration with leading customers across the globe, our expert teams of physicists, engineers, data scientists and problem-solvers design solutions that move the world forward. Investors and others should note that KLA announces material financial information including SEC filings, press releases, public earnings calls and conference webcasts using an investor relations website (ir.kla.com). Additional information may be found at: www.kla.com.

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SOURCE KLA Corporation

FAQ

What is the value of KLA's new facility investment in Wales?

KLA has invested $138 million in their new R&D and manufacturing facility in Newport, Wales.

How many employees can KLA's new Wales facility accommodate?

The new KLA facility in Wales has capacity for 750 employees.

What technologies will KLA's new Wales facility focus on?

The facility will focus on semiconductor process technologies across advanced packaging, power devices, microelectromechanical systems (MEMS), radio frequency (RF), and photonics sector technology.

How large is KLA's new manufacturing facility in Wales?

The facility is 237,000 square feet, including 25,000 square feet of R&D clean rooms and 35,000 square feet of manufacturing space.

When did SPTS Technologies begin operations in Wales?

SPTS Technologies has been operating in Wales since 1984, leading semiconductor equipment innovation in the region.