July 9, 2007 – Anadigics Inc. says it has broken ground for a new 150mm gallium arsenide (GaAs) IC wafer fab in the Kunshan New and Hi-Tech Industrial Development Zone of China’s Jiangsu Province, a move to add capacity beyond its current primary wafer fab in New Jersey. The company announced in April it would invest $10-$15 million over the next two years (starting in 4Q07) in the new site, with construction complete in 1H08 and fab operations starting in late 2008 (an earlier timeline suggested initial production would occur by the end of 2009). Total investment over the fab’s entire projected lifetime — potentially up to 50 years — is projected to be just under $50 million, the company says.

“Whereas the expansion will enable us to meet our future growth needs, it also demonstrates our commitment to the communications market in China as well as the larger Asia-Pacific Region,” said Bami Bastani, president/CEO of Anadigics, in a statement.

The fab will be jointly built with the Kunshan New and Hi-Tech Industrial Development Zone, which was established in 1994 and approved in 2005 by the Chinese government to set up a new high-tech industry development zone.