Applied Materials wants to expand into China

ChinaApplied Materials, which is the world’s largest supplier of equipment used to make semiconductor chips, plans to invest $615 million to expand in China.

The China Daily quoted company CEO Gary Dickerson as saying that China has been ploughing tens of billions of dollars into building a competitive chip industry in a bid to cut down on imports and support domestic demand.

“China’s pro-innovation environment for high-tech industries has given the semiconductor and display industries tremendous opportunities for companies such as Applied Materials,” he said.

The company last month forecast higher-than-expected profit and revenue for the current quarter, helped by rising demand in China.