Ann Arbor Chosen for New $71.3 Million High-Tech R&D Center

Silicon Valley-based KLA-Tencor has chosen Ann Arbor for its new $71.3 million, state-of-the-art, high-tech research & development center. The project is expected to create 500 high-tech, high paying jobs.

Citing Michigan’s attractive business climate, logistical assets, and diverse R&D talent base, Silicon Valley-based KLA-Tencor announced today plans to establish a research-and-development center in Ann Arbor, which was selected from among 350 potential sites in North America. The R&D center is expected to generate a total capital investment of $71.3 million and create 500 high-tech jobs.

A designer and manufacturer of products for the semiconductor and related nanoelectronics industries, KLA-Tencor is committed to innovation and high level of R&D investment as a necessary step to maintain their market leadership, said Bobby Bell, chief strategic officer.

“Ann Arbor stood out because of its proximity to the automotive industry, and our partnership with the University of Michigan,” he said. “That partnership allows us to draw on one of the greatest concentrations of engineering talent in the U.S.”

The investment into the state’s semiconductor industry continues to build Michigan’s high-tech workforce, which ranks third in the U.S. in high-tech job growth.

“KLA-Tencor’s decision to invest and grow here offers further evidence that Michigan is becoming one of the preeminent locations for high-tech companies to grow or relocate their business,” said Gov. Rick Snyder.

“This expansion underscores the attractiveness of our business environment as well as the strength of our logistical assets, our talented workforce and our high quality of life,” he said. “The company’s high-profile investment further establishes Michigan as a place where high-tech talent demands can be met, and tech companies can grow.”

Headquartered in Milpitas, California, the company has 6,800 employees worldwide, but none in Michigan. The jobs in Ann Arbor will be high-skilled and high-paid, which qualify for the Good Jobs for Michigan program.

The R&D semiconductor research center will be a major boost to the semiconductor industry in Michigan. It’s expected that demand for semiconductors will increase rapidly with the development of mobility and autonomous vehicles.

Read the full announcement here.

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