Wales Embraces Convergence of Automotive, Electronics
17 October 2000
Wales Embraces Convergence of Automotive, Electronics
DETROIT, Oct. 16 As the electrical complexity of
automobiles increases due to growing applications of telematics, the line
between traditional "automotive" and "electronics" companies blurs.
Wales, with more than 150 automotive suppliers, now is attracting growing
numbers of electronics companies, many of whom are taking advantage of the
convergence of their industry and automotive.
Since 1990, more than $4.5 billion (3 billion pounds sterling) of inward
investment has been committed to electronics and information technology (IT).
Four of the world's top six electronics manufacturers now have Welsh-based
operations. They are part of the more than 300 companies in Wales that
constitute one of the greatest concentrations of IT/electronics companies in
Europe.
For the Welsh Development Agency (WDA), the public body charged with
economic development for the region, the convergence of electronics and
automotive means re-targeting marketing messages and incentive programs that
once were industry specific.
For example, take Elumin Ltd, which just opened its first manufacturing
plant in Wales. Elumin's move to Wales was supported by the WDA and the
National Assembly for Wales and funding from the Finance Wales Small Loan
Fund.
The plant will make the advanced technology company the largest and most
flexible producer of electroluminescent (EL) lamps in Europe. EL lamps, of
great interest to automotive and telecom companies, are flexible, flat, thin
and cold illumination sources that can be cut into complex shapes for a
variety of displays for automobiles, mobile phone and aircraft instrument
consoles.
Another example: Wales-based Pilkington Optronics which specializes in the
design development and manufacture of electro-optical component and equipment,
is part of the Welsh Opto-Electronics Forum consortium this is comprised of
companies, university research groups, users and support organizations
dedicated to the development and profitability of the opto-electronics sector
in Wales and internationally.
With help from the WDA, Pilkington is working with Jaguar and Visteon to
develop a night vision system to be used in Jaguar's top-end luxury vehicles.
The system uses near infrared illumination and CCD technology to provide an
electronic image of the road ahead through a Heads Up Display similar to the
technology used in aircraft. The technology may be applied to other vehicles
such as commercial trucks with additional information such as road and traffic
details, vehicle speed, and engine conditions.
International Rectifier, based in El Segundo, Calif., is the world leader
in field-effect power transistors. In 1999, the company opened a major new
facility near Swansea, Wales, for a variety of reasons, including a top-notch
labor pool and infrastructure, proximity to key European markets, and the
excellent business climate in Wales.
Located on 20 acres in a modern industrial park, the plant is designed to
generate approximately $300 million in annual revenue at full capacity.
According to plan, within five years, the plant will reach full capacity and
employ approximately 500 people.
The state-of-the-art plant was built to meet the rising demand for
International Rectifier's proprietary motion and power control modules, which
combine semiconductors and related components in order to improve product
performance and energy efficiency across a range of fast-growing automotive,
industrial, and appliance applications.
The WDA custom-built the 80,000-sq.-ft. assembly facility for
International Rectifier with support from the city and county government in
Swansea. The facility is expandable to 350,000 sq. ft.
The attraction of Wales as a business location, especially for companies
like Elumin, Pilkington, and International Rectifier, is the excellent
availability of highly skilled, motivated and competitively priced labor, and
the region's commitment to innovation assistance.
The WDA has created 36 Centers of Expertise covering areas such as
artificial intelligence, materials science and semiconductors. Each Center
has close involvement with national and international companies in
collaborative or contract research, take advantage of research and development
grants, and work under industrial timetables.
Just this month, the WDA launched its newest website called Know-How Wales
( http://www.knowhowwales.com ) as an online gateway to knowledge and
technology transfer.
Know-How Wales offers free, comprehensive and independent advice on how to
access technological resources and expertise from Welsh universities and
colleges. Links provide detailed information about business services at each
of the institutions and a bulletin board that facilitates communication
between companies and knowledge transfer providers.
Next month, the WDA will present Autoconference 2000, an international
forum on the future of the global motor industry, in Cardiff, on Nov. 12,
2000. Speakers will include Nick Reilly, chairman and managing director of
Vauxhall Motors UK (Luton); John Towers, chairman of MG Rover Group; Graham
Broome, chief executive of the Society of Motor Manufacturers & Traders Forum;
and Prof. Garel Rhys, director of the Center for Automotive Industry Research,
Cardiff University, who will chair the event.
Speakers will address the impact of emerging and future technologies,
environmental pressures, the agenda for sustaining the long-term development
of the industry worldwide and the impact of globalization. An exhibition of
Welsh tier one suppliers will run alongside the conference at Cardiff
International Arena.