Applied Materials Establishes Services Center in Costa Rica

Applied,Materials

Applied Materials has opened a services center in Heredia, Costa Rica, seizing on the region’s semiconductor boom. This move follows the U.S.’s $500 million investment to boost semiconductor manufacturing in Mexico, Costa Rica, and Panama.

Just two months ago, the California-based firm began operations under the Free Trade Zone in Heredia. The new Global Business Services (GBS) center aims to enhance supply chain and procurement for customers.

This marks Applied Materials’ first venture in Latin America and will create about 100 jobs initially. The company joins other U.S. semiconductor firms investing in Costa Rica, such as ServiceNow, which recently set up operations in Heredia’s America Free Zone.

Costa Rica already hosts major industry players like Intel, Teradyne, Qorvo, NI, HPE, and R&D Altanova. In mid-2023, Intel committed an additional $1.2 billion to scale up its assembly and testing.

The government supports the semiconductor sector through a dedicated roadmap and tax incentives under the Free Trade Zone, including reduced or zero income tax and VAT exemptions.

Earlier this year, Arizona State University received $13.8 million from the U.S. under the CHIPS Act. According to U.S. Ambassador Cynthia Telles, this funding aligns with Costa Rica’s efforts to grow its semiconductor workforce, expanding assembly, testing, and packaging in partner countries.

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Publish date : 2024-11-06 05:15:00

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