Texas Instruments invests P17 B in 2010

MANILA, Philippines - Texas Instruments Philippines, a subsidiary of the US chip maker Texas Instruments (TI), invested P 17 billion last year and will invest more this year.

“Texas Instruments will definitely put in more money this year because their committed investments is $1 billion,” Philippine Economic Zone Authority (PEZA) Director General Lilia B. De Lima told reporters.

According to De Lima during the first year here, TI has put in P20 billion. “We are sure that the entire $1 billion will come in but it will be in tranches.”

In 2007, TI announced its investment in the country. Then President Gloria Macapagal Arroyo called it “one of the biggest single investments in our economic history.”

“[TI] is investing around $1.7 billion over the next five to 10 years, including future expansion. When we made the announcement, it was $1 billion, but the way they explained it to us, it could reach $1.7 billion since it is not an ordinary facility, it is high-tech and the area could be bigger than the Makati central business district,” Mrs. Arroyo has said.

Kevin Ritchie, TI senior vice president for technology and manufacturing said the quality of its Baguio workforce tipped the balance in the Philippines’ favor.

Industry officials had feared TI would instead locate the plant in China where a booming economy has attracted billions and billions of dollars of foreign investment.

The assembly plant of Texas Instruments in the Clark FreePort Zone would cover eight hectares and employ more than 3,000 workers. Mrs. Arroyo said the new plant would double the capacity of TI in the Philippines where their original plant is in the Baguio City Special Economic Zone.

The company’s assembly plant in Baguio continues to be one of its most sophisticated assembly and test sites.

“We look at this event as a sure sign that the Philippines has found its niche as one of the best investment destinations in Asia. We are very proud that through strong international alliances, we have forged new partnership that have led to billions in investments that have created millions of new jobs and the latest big one is Texas Instruments,” she said.