Scottish chip-maker closes deal with Chinese firm

Posted on 3 Jun 2011 by The Manufacturer

Compound Semiconductor Technologies Global Limited, the Glasgow-headquartered manufacturer of optoelectronics devices, has secured a six-figure supply agreement with one of China’s emerging tele and data communications developers.

The company, which develops and manufactures customised laser chips for use in industrial, communications and defence applications, is set to double its turnover to £5m within the next three years.

The news comes as CST also reaches a production milestone, having manufactured two million high-performance laser chips since acquiring its new manufacturing premises in 2010.

Neil Martin, chief executive officer of CST, said: “We have been making considerable headway in the Chinese market for some time and have now reached a key milestone, which underscores the significant investment we’ve made in developing our own proprietary modular process technology platforms. This commitment now sees CST firmly at the forefront of this global market.

“Chinese companies are increasingly looking to develop their own operations beyond pure manufacturing. Even though these markets have been traditionally high volume low cost, we have achieved considerable success in working with such companies to incorporate their custom-built CST laser technologies into their products.”

According to Martin, the development of modular technology platforms has allowed us to remain both competitive and agile: CST doesn’t need to go back to the R&D team every time a new requirement comes along. This accelerates time to market for its customers.

The optoelectronics sector is experiencing rapid growth, with significant demand coming from the data and telecommunications sectors.