Draft:PT Astra Microtronic Technology
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Rediscovering AMT: Indonesia's Quiet Semiconductor Renaissance in Batam While much of Southeast Asia's semiconductor narrative focuses on Malaysia and the Philippines, Indonesia played a pivotal — though often overlooked — role through the establishment of Astra Microtronics Technology (AMT) on Batam Island in 1990. At its peak, AMT employed over 3,500 people, producing 3 million chips daily in a 24/7 operation cycle. It was one of the region’s most profitable OSAT (Outsourced Semiconductor Assembly and Test) facilities, blending world-class technology and resilient local talent.
Founding Leadership: A Global Collaboration
AMT was shaped by a remarkable trio of visionaries: • Mr. Ralph Duceour (USA) – Chief Executive Officer A veteran of Fairchild, Duceour brought strategic depth and global OSAT insights. • Mr. Jas Chen (Taiwan) – Chief Operating Officer An experienced VP of ASE, Chen’s mastery in high-volume semiconductor operations ensured flawless execution. • Mr. Hardiono Kertadjaja (Indonesia) – Chief of Support Functions Oversaw human resources, IT, facilities, finance, and administration — building AMT’s cultural foundation and operational cohesion and unity treating employees as asset of the company, not just labourers. Together, this team cultivated a workforce of over 9,000 alumni, many of whom went on to shape Indonesia’s tech and semiconductor sectors as well as across the region.
AMT: A Forgotten Powerhouse
From humble beginnings, AMT soared to become one of Southeast Asia’s most efficient and profitable OSAT facilities: In August 1990, PT Astra Microtronics Technology (AMT) was incorporated in Indonesia. By October 1990, production was underway on Batam Island, signalling the start of an extraordinary rise in output, workforce scale, and industry certification. 📈 Growth Milestones Year/Mo Production Output Headcount Certifications & Notes Oct 1992 10M assembly / 1.5M final test units/month 830 Exar Awards – Supplier of the Year Jun 1993 15M assembly / 2.2M final test units/month 1,000 ISO 9002 Certified; Unitrode Award Oct 1993 20M assembly / 4M final test units/month 1,400 Siemens AG – Supplier of the Year Jul 1994 30M assembly / 6M final test units/month 1,900 Zilog – Vendor of the Year Motorola – Supplier Award of Excellence 1995 40M assembly / 7M final test units/month 2,500 42% revenue growth over 1994 Motorola – Corporate Supplier Award for Excellence (Motorola’s highest award) 1996 50M assembly / 9M Test 2,800 UL Certified, 29% revenue growth 1997 65M assembly / 12M Test 3,200 SAC/QA 9000 Certification; expansion begins (165,000 sq. ft.) Mar 1998 90M assembly / 15M Test 3,501 Expansion completed; 32% revenue growth over 1997
Facility Overview at Peak
• Total floor space: 385,000 sq. ft. • 240,000 sq. ft. for Assembly • 60,000 sq. ft. for Testing • 85,000 sq. ft. for Warehousing, IT, Facilities, Offices, Cafeteria, Lockers • Workforce Composition: • 2,263 Assembly Engineers, Technicians and Operators • 658 Test Engineers, Technicians and Operators • 353 Quality Control Engineers, Technicians and Operators • 227 Managements, Facilities, MIS/IT and Support Functions Staffs AMT’s precision engineering, global certifications, and tireless workforce made it a standout beacon of Indonesian capability in the global semiconductor value chain.
Transition & Transformation
In 1998, financial challenges faced by Astra led to AMT's acquisition by Newbridge Capital, which rebranded the company as Advanced Interconnect Technology (AIT). AIT continued its strong operational run until its eventual acquisition by Unisem, a Malaysian OSAT company, in 2007. However, by August 2019, Unisem began strategically shifting high-end products and equipment to facilities in Ipoh, Malaysia and Chengdu, China, gradually downsizing Batam’s operations. By March 2020, the Batam facility was formally closed — leaving behind only low-complexity products ("jellybeans") and a reduced workforce of approximately 700. In a strategic move, Infineon Technologies acquired the building and its infrastructure, re-equipping it with new machinery. The site was reborn as Infineon-3 Batam, commencing operations in mid-2022 — a symbol of Batam’s quiet revival.
Subtle Forces at Play: Strategic Undercurrents
While economic and corporate factors certainly influenced these transitions, regional observers have noted nuanced industrial dynamics: • Delegations from Temasek Holdings (Singapore) visited AMT in its early years, reportedly considering an acquisition. Upon assessing that AMT didn’t pose a strategic threat, no further action was taken. • Some analysts suggest that Unisem’s acquisition of AIT may have been a move to consolidate and reallocate semiconductor capacity, citing the staged relocation of machinery and talent to Malaysia. Though difficult to confirm definitively, these events underscore that strategic Balancing is often behind regional industrial development.
The Batam Legacy Lives On Today, Batam’s semiconductor identity is steadily rekindling:
• Infineon Technologies – Advanced backend operations expanding • TDK, KEMET, Schneider Electric, YAGEO, Excelitas – Essential Semicon components manufacturing • SAT Nusapersada – EMS & backend support for Semicon ecosystems Indonesia’s commitment to high-tech industries is reflected not only in facilities — but in its people, expertise & resilience. And it all began with the unheralded persistence of AMT.