18 March 2024
Under the Radar: Applied Materials on navigating a challenging business operating environment; innovation, new machine and role of Southeast Asia
We’ve talked in depth about semiconductor makers on the show, and today we want to go one step further to look at the largest manufacturers of semiconductor equipment in the US.
With an annual revenue of US$26.52 billion, our guest Applied Materials is a leader in materials engineering solutions used to produce virtually every new chip and advanced display in the world.
The chipmaking tool giant counts tech titans Intel and Samsung among its customers. It had in February reported first quarter revenue of US$6.71 billion, beating estimates, with China’s sales of US$3 billion accounting for 45 per cent of total revenue, up from 17 per cent seen a year ago.
But how does the firm assess the wider business environment given increasing US-China tensions and US curbs to export chipmaking equipment to China, and the increased adoption of innovative solutions like chiplets?
Meanwhile, Applied Materials had in 2022 announced that it is building a S$600 million plant here to expand its manufacturing and research operations with plans to further expand in the city state before the end of the decade. But what was the rationale behind the move?
On Under the Radar, The Evening Runway’s finance presenter Chua Tian Tian posed these questions to Brian Tan, Regional President, Southeast Asia and Vice President, Applied Global Services, Applied Materials.

Download this podcast.