IBM to Strengthen Canada's Semiconductor Industry

IBM, the Government of Canada, and the Government of Quebec announced agreements that will strengthen Canada's semiconductor industry. The deal should further develop the assembly, testing, and packaging (ATP) capabilities for semiconductor modules to be used across a wide range of applications including telecommunications, high-performance computing, automotive, aerospace & defense, computer networks, and generative AI, at IBM Canada's plant in Bromont, Quebec. The agreements reflect a combined investment valued at approximately CAD187 million.

"Today's announcement is a massive win for Canada and our dynamic tech sector. It will create high-paying jobs, invest in innovation, strengthen supply chains, and help make sure the most advanced technologies are Canadian-made. Semiconductors power the world, and we're putting Canada at the forefront of that opportunity," said Justin Trudeau, Prime Minister of Canada.

In addition to the advancement of packaging capabilities, IBM will be conducting R&D to develop methods for scalable manufacturing and other advanced assembly processes to support the packaging of different chip technologies, to further Canada's role in the North American semiconductor supply chain and expand and anchor Canada's capabilities in advanced packaging. The agreements also allow for collaborations with small and medium-sized Canadian-based enterprises with the intent of fostering the development of a semiconductor ecosystem, now and into the future.

"IBM has long been a leader in semiconductor research and development, pioneering breakthroughs to meet tomorrow's challenges. With the demand for computing surging in the age of AI, advanced packaging and chipset technology is becoming critical for the acceleration of AI workloads," said Darío Gil, IBM Senior Vice President and Director of Research.

IBM Canada's Bromont plant is one of North America's largest chip assembly and testing facilities, having operated in the region for 52 years. Today, the facility transforms advanced semiconductor components into state-of-the-art microelectronic solutions, playing a key role in IBM's semiconductor R&D leadership alongside IBM's facilities at the Albany NanoTech Complex and throughout New York's Hudson Valley. These agreements will help to further establish a corridor of semiconductor innovation from New York to Bromont.