Thailand is fast emerging as a Southeast Asian hub for next-generation chipmaking, as U.S. semiconductor giant Lumentum ramps up its investment with plans to expand production and establish the Kingdom’s first full-scale photonics chip research and design center.
The new facility will be located at Nava Nakorn Industrial Estate in Pathum Thani, where Lumentum has operated since 2017. The expansion, valued at over THB2.3 billion (US$63 million), will boost production of ultra-high-power light-emitting chips, key components in AI processors, intelligent vehicles, and laser-based medical devices.
Lumentum’s total investments now exceed THB20 billion, according to Thailand’s Board of Investment (BOI), employing more than 6,000 Thai nationals, including 700 engineers and scientists. Exports from its Thai base reached THB14 billion in 2024 and are projected to more than double this year.“[The expansion] reflects confidence in Thailand’s potential and marks a shift from being a chip assembly base to a center of design and innovation,” said BOI Secretary-General Narit Therdsteerasukdi, who added that it was moving toward the “Made-in-Thailand Chip” goal.
Building Asia’s photonics hub
Lumentum’s latest move positions Thailand at the heart of the US$13 billion global photonics chip market, which is projected to double within five years. Photonics technology, which utilizes light instead of electricity to transmit data, is a cornerstone for high-speed computing, data centers, and AI applications.
The company’s Thai operations will soon become its Global Flagship Factory, serving surging demand for AI and cloud computing components. Lumentum aims to quadruple production capacity within two years, helping push the value of Thai-made photonics components to US$4 billion by 2028–2029.
According to President and CEO Michael Hurlston, Lumentum’s investment lays a new foundation to position Thailand as Asia’s photonics hub and a key S-Curve segment driving the digital economy for the next decade. To support the ecosystem, Lumentum has already attracted over 20 global suppliers to set up operations locally, with the expansion expected to generate up to 30,000 jobs across the supply chain.
Thailand is fast emerging as a Southeast Asian hub for next-generation chipmaking, as U.S. semiconductor giant Lumentum ramps up its investment with plans to expand production and establish the Kingdom’s first full-scale photonics chip research and design center.
Creating the pipeline of Thai industry talent
Beyond production, Lumentum’s new Photonics Lab and R&D center will feature prototype lines, software development, and reliability testing facilities to reflect a pivot toward innovation. The company is also planning collaborations with Thai universities to develop specialized curricula in photonics and laser engineering, building a pipeline of local talent.
Having R&D and design in Thailand marks the beginning of a transformation from a manufacturer to an innovator, according to Dr. Prong Kongsubto, Senior Director at Lumentum.
As Thailand seeks to redefine its industrial landscape, Lumentum’s expansion could mark the start of a new economic S-Curve, bridging global photonics demand with Thai ingenuity and cementing the nation’s place on the world’s high-tech map.
Teerin Julsawad