STMicroelectronics ( STM ) disclosed further elements of its program to reshape its global manufacturing footprint. This program builds on the one the company announced in October 2024 to strengthen its competitiveness.

CEO Jean-Marc Chéry said the technology R&D, design, and high-volume manufacturing activities in Italy and France will remain central to its global operations.

Tesla, Inc. ( TSLA ) and Apple Inc ( AAPL ). supplier STMicroelectronics’ manufacturing operations aim to prioritize planned investments in future-ready infrastructure, such as 300mm silicon and 200mm silicon carbide wafer fabs.

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STMicroelectronics ( STM ) plans to continue investing in upgrading the technology used across its operations, deploying additional AI and automation to improve efficiency in technology R&D and manufacturing.

Over the next three years, the reshaping of STMicroelectronics’ manufacturing footprint will design and strengthen its complementary ecosystem: in France around digital technologies, in Italy around analog and power technologies, and in Singapore on mature technologies.

STMicroelectronics ( STM ) plans to double the current capacity of the Agrate (Italy) 300mm fab to 4,000 wafers per week (wpw) by 2027, with planned modular expansions increasing capacity to 14,000 wpw, depending on market conditions. The Agrate 200mm fab will refocus on MEMS.

The company plans to boost the capacity of the Crolles (France) 300mm fab to 14,000 wpw by 2027, with planned modular expansions increasing capacity to 20,000 wpw. In addition, the company proposed converting the Crolles 200mm fab to support Electrical Wafer Sorting, a high-volume manufacturing and advanced packaging technology. The focus will be on next-generation leading technologies, including optical sensing and silicon photonics.

Catania will continue to serve as a center of excellence for power and wide-bandgap semiconductor devices. The development of the new Silicon Carbide Campus is progressing as planned, with the production of 200mm wafers set to begin in the fourth quarter of 2025. STMicroelectronics’ resources supporting Catania’s current 150mm and EWS capabilities will refocus on 200mm silicon carbide and silicon power semiconductor production, including GaN-on-silicon.

Rousset (France) will focus on 200mm manufacturing, with additional volumes reallocated from other sites.

Tours (France) will remain focused on its 200mm silicon production line for select technologies, while other activities, including legacy 150mm manufacturing activities, will be transferred to different STMicroelectronics ( STM ) sites. It will also remain a competence center for GaN, mainly on epitaxy. The Tours site will also host a new activity: panel-level packaging, one of the significant enablers of chiplets, a technology for complex semiconductor applications.

Ang Mo Kio (Singapore), STMicroelectronics’ high-volume fab for mature technologies, will focus on 200mm silicon manufacturing and host its consolidated global legacy 150mm silicon capabilities.

Kirkop (Malta), STMicroelectronics’ high-volume test and packaging fab in Europe, will be upgraded with advanced automated technologies.

As STMicroelectronics ( STM ) reshapes its manufacturing footprint over the next three years, the workforce size and required skill sets will evolve. Advanced manufacturing will shift roles from legacy processes involving repetitive manual tasks to a stronger focus on process control, automation, and design.

Based on current projections, the program will likely see up to 2,800 people leaving the company voluntarily globally, on top of normal attrition. These changes will likely occur mainly in 2026 and 2027.

STMicroelectronics ( STM ) stock plunged 56% in the last 12 months as it struggled to steer a slump in demand for automobile and industrial semiconductors.

Reportedly, Italy’s government is considering replacing STMicroelectronics ( STM ) chief Jean-Marc Chéry after he failed to improve the company’s prospects. Rome believes the CEO’s performance is insufficient. Rome and Paris governments hold a combined 27.8% stake in the company.

Price Action: STM stock is up 3.75% at $19.65 in premarket at last check Friday.

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