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Victoria is set to become the first state in Australia with a large-scale silicon chip manufacturing operation, following the announcement Robert Bosch Australia will be establishing a new operation for silicon chips at its Clayton plant.

In addition to the further development of Victoria's semi-conductor industry, the new silicon chip manufacturing operation will directly create 95 jobs as well as up to 30 jobs for material suppliers, transport companies and other associated businesses.

The company will also install extra production facilities to double current diode production.

The decision by Robert Bosch represents a $33 million investment, $11 million of which will be for the silicon chip manufacturing process.  A further $20 million plus investment has also been scheduled for additional high-tech projects over the next few years making a total of in excess of $53 million committed to the expansion of the facility.

The Robert Bosch Group is a German-based designer and manufacturer of automotive equipment, communications technology and consumer goods.

It is the world's largest independent manufacturer of automotive equipment and one of the largest component manufacturers in Victoria. The company's global Automotive Body Electronics Plant was opened in Melbourne last year. 

In addition to its silicon-chip operation, the company has also committed to doubling the capacity of its existing diode production.

Bosch will also work closely with Victorian universities and research facilities to further advance technology in the industry, under the 'Chipskills' program.

(News Release, Office of the Premier, August 20, 1998)