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STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France

MWN-AI** Summary

STMicroelectronics (NYSE: STM), a leader in the semiconductor industry, has announced significant advancements towards next-generation chip manufacturing with the development of a new Panel-Level Packaging (PLP) pilot line in Tours, France. Set to become operational in Q3 2026, this initiative is bolstered by a substantial investment of over $60 million aimed at enhancing advanced manufacturing capabilities.

The PLP technology signifies a transformative approach to chip packaging and testing, utilizing large rectangular substrates instead of traditional circular wafers. This method is designed to improve manufacturing efficiency and cost-effectiveness, allowing for higher volume production and supporting the innovation of smaller and more powerful electronic devices. STMicroelectronics aims to further develop this technology to maintain its competitive edge and broaden its applications in various sectors, including automotive, industrial, and consumer electronics.

A multi-disciplinary team in Tours will spearhead this project, focusing on collaborative advancements in manufacturing automation, process engineering, and data science. This collaboration reflects ST’s larger strategic initiative in heterogeneous integration, which emphasizes scalable and efficient chip integration solutions.

Existing experiences from ST's first-generation PLP line in Malaysia and synergies with local R&D ecosystems, such as the CERTEM center, enhance this venture, promising enriched technology and innovation pathways. As the semiconductor landscape evolves, STMicroelectronics is committed to reshaping its manufacturing footprint in Europe and advancing its capabilities in next-generation chip development, all while striving for sustainability and better operational practices.

With a clear commitment toward cutting-edge technology, STMicroelectronics continues to play a crucial role in the future of semiconductor manufacturing, setting the stage for heightened efficiency and flexibility in the industry.

MWN-AI** Analysis

STMicroelectronics' recent announcement about establishing a Panel-Level Packaging (PLP) pilot line in Tours, France, is a strategic move that warrants attention from investors and market analysts alike. With a capital investment of over $60 million, the company aims to enhance its position within the semiconductor sector, addressing the industry's pursuit of smaller, more efficient electronic devices.

This new pilot line is set to operationalize PLP technology, which offers significant advantages over traditional wafer-level packaging (WLP) and flip-chip technologies. By utilizing large rectangular panels instead of circular wafers, STMicroelectronics can increase throughput, reducing manufacturing costs and enhancing operational efficiencies—key considerations in today’s competitive landscape. Moreover, the integration of Direct Copper Interconnect (DCI) will likely result in superior performance in terms of electrical conductivity and reliability, positioning ST as a frontrunner in advanced packaging solutions.

Investors should note the strategic implications of this development. First, the Tours site is positioned to contribute significantly to ST's broader initiatives focused on heterogeneous integration, which holds promise for diverse applications including automotive and industrial sectors. With the semiconductor market positioned for growth, this capability will likely boost STMicroelectronics' attractiveness to customers seeking cutting-edge technology.

Furthermore, leveraging synergies with local R&D ecosystems enhances the potential for innovation and collaboration, which can lead to more robust product offerings. Given the strategic investment in technologically advanced infrastructure, STMicroelectronics is not just expanding its manufacturing capabilities but is also reshaping its competitive landscape in Europe.

In summary, STMicroelectronics' new PLP pilot line underscores its commitment to driving innovation in chip manufacturing. Investors may want to consider this development as a positive driver for the company's future growth and market position.

**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.

Source: GlobeNewswire

PR N°C3358C

STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France

  • Multi-disciplinary team to further develop innovative approach to chip packaging and test manufacturing technology boosting efficiency and flexibility
  • Part of ST’s strategic initiative on heterogeneous integration, contributing to technology roadmap on RF, analog, power and digital products
  • Launch of the PLP pilot line in Tours supported by $60 million investment and synergies with local R&D ecosystem

Geneva, Switzerland, September 17, 2025 -- STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, today announced new details regarding the development of the next generations of Panel-Level Packaging (PLP) technology through a pilot line in its Tours site, France, which is expected to be operational in Q3 2026.

PLP is an advanced, automated chip packaging and test process technology bringing increased manufacturing efficiency and reducing costs, and a key enabler for creating the next generation of smaller, more powerful, and cost-effective electronic devices. The large-area carrier in PLP (large rectangular shapes in place of circular wafers) enables higher manufacturing throughput, making it a more efficient solution for high-volume production. Building on its first-generation PLP line in operation in Malaysia and its global technology R&D network, ST plans to develop the next generations of its PLP technology to maintain its technological leadership and extend the use of PLP across many other ST products for automotive, industrial and consumer applications.

“The development of our PLP capabilities in our Tours site is aimed at advancing this innovative approach to chip packaging and test manufacturing technology, boosting efficiency and flexibility so it can be rolled out across a wide portfolio of applications, including RF, analog, power and microcontrollers. A multidisciplinary team of experts in manufacturing automation, process engineering, data science and analytics, as well as technology and product R&D, will collaborate on this program, which is a key part of a l arger strategic initiative focused on heterogeneous integration – a scalable, efficient new approach to chip integration, ” said Fabio Gualandris, President Quality, Manufacturing and Technology of STMicroelectronics. “ With our fab in Malta, ST has already demonstrated its capability to deliver high-performing chip packaging and test in Europe. As we reshape our global manufacturing footprint, this new initiative in Tours will expand our process, design and manufacturing innovation capabilities supporting the development of next-generation chips in Europe”.

The development of the new PLP pilot line in Tours is supported by a capital investment of over $60 million, already allocated as part of the company-wide program to reshape the Company’s manufacturing footprint. Additional synergies are expected with the local R&D ecosystem, including the CERTEM R&D center. As previously announced, this program is focused on advanced manufacturing infrastructure and brings redefined missions for some sites in France and Italy to support their long-term success.

Technical note on PLP

For decades, the industry has relied on wafer-level packaging (WLP) and flip-chip technology to connect silicon chips to external circuitry. However, as devices become smaller and more complex, these methods have begun to reach their limits in terms of scalability and cost-effectiveness. For advanced packaging, different approaches exist or are under development; PLP is one of them.

Panel Level Packaging is a method where multiple ICs are packaged on a single, larger rectangular substrate panel, rather than on individual circular wafers. This allows for more ICs to be processed simultaneously, reducing costs and improving throughput.

ST has not only adopted PLP-DCI but has also been at the forefront of its development since 2020. The company's research and development teams have worked to prototype and scale the technology, culminating in a state-of-the-art PLP-DCI process currently in production at very high volumes of over 5 million units per day on a highly automated line using very large, 700x700mm panels.

ST’s PLP technology focuses on Direct Copper Interconnect (DCI). Direct copper interconnections replace the traditional wire connections of chips with their encapsulation support. DCI is the process by which these ICs are electrically connected to the panel substrate using copper, which is known for its excellent electrical conductivity. DCI offers superior performance compared to traditional methods that use solder bumps, which can be less reliable. This technology with direct connection without wire supports new product development by reducing power losses (such as resistance and inductance), enhancing heat dissipation and enabling miniaturization. This leads to better overall power density.

PLP-DCI also allows the integration of multiple chips within advanced packages, known as System in Package (SiP).

About STMicroelectronics
At ST, we are 50,000 creators and makers of semiconductor technologies mastering the semiconductor supply chain with state-of-the-art manufacturing facilities. An integrated device manufacturer, we work with more than 200,000 customers and thousands of partners to design and build products, solutions, and ecosystems that address their challenges and opportunities, and the need to support a more sustainable world. Our technologies enable smarter mobility, more efficient power and energy management, and the wide-scale deployment of cloud connected autonomous things. We are on track to be carbon neutral in all direct and indirect emissions (scopes 1 and 2), product transportation, business travel, and employee commuting emissions (our scope 3 focus), and to achieve our 100% renewable electricity sourcing goal by the end of 2027. Further information can be found at www.st.com .

For further information, please contact:
INVESTOR RELATIONS
Jérôme Ramel
EVP Corporate Development & Integrated External Communication
Tel: +41.22.929.59.20
jerome.ramel@st.com

MEDIA RELATIONS
Alexis Breton
Group VP Corporate External Communications
Tel: +33.6.59.16.79.08
alexis.breton@st.com

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FAQ**

How does STMicroelectronics N.V. STM plan to leverage the new PLP pilot line in Tours to enhance its competitive edge in the chip manufacturing market?

STMicroelectronics N.V. plans to leverage the new PLP pilot line in Tours by accelerating the development of innovative packaging solutions for its semiconductor products, improving production efficiency, and enhancing its capabilities to meet the growing demand for advanced chip technologies.

Can STMicroelectronics N.V. STM provide more details on the expected synergies with the local R&D ecosystem and the CERTEM center that will support the PLP pilot line project?

STMicroelectronics N.V. is expected to leverage synergies with the local R&D ecosystem and the CERTEM center to enhance innovation, accelerate product development, and foster collaboration for the PLP pilot line project, though specific details remain to be disclosed.

What specific advancements in RF, analog, power, and digital products does STMicroelectronics N.V. STM anticipate as a result of the new PLP technology being developed in Tours?

STMicroelectronics N.V. anticipates advancements in miniaturized RF and analog components, enhanced power efficiency, and improved performance in digital products through the innovative PLP technology being developed in Tours, driving greater integration and functionality.

How will STMicroelectronics N.V. STM ensure the scalability and cost-effectiveness of its Panel-Level Packaging technology in high-volume production environments?

STMicroelectronics N.V. will enhance scalability and cost-effectiveness of its Panel-Level Packaging technology in high-volume production environments through advanced automation, optimized manufacturing processes, and strategic investments in robust production infrastructure.

**MWN-AI FAQ is based on asking OpenAI questions about ST Microelectronics (OTC: STMEF).

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