In his speech, Mr Gan said that AI is driving a sharp increase in demand for computing power and semiconductor performance.
To seize these emerging opportunities, companies will need more than scale, he said.
“They will need reliable bases where they can anchor critical activities, access strong talent, integrate with deep ecosystems, and invest with confidence for the long term,” he said.
Singapore must sharpen its value proposition by going beyond being an open, connected and efficient hub, said Mr Gan. It must be a “trusted, innovative and resilient base for companies to grow from, especially in fast-growing sectors such as semiconductors”.
He also noted Singapore’s strong ecosystem across wafer fabrication, semiconductor equipment, advanced packaging, IC design, speciality chemicals, precision engineering and research and innovation, developed over the past five decades.
“But we cannot stand still. The industry is moving quickly, and competition is intensifying.”
Mr Gan added: “To stay relevant, we must strengthen our leadership in areas where we can make a meaningful impact, and where our capabilities are difficult to replicate.”
Singapore will do this by attracting and anchoring new investments and capabilities, transforming existing operations and by entrenching investments deeply into its ecosystem, he said.
“When a leading global company like Applied deepens its presence here, it creates opportunities for local suppliers, strengthens our advanced manufacturing base, and helps Singapore-based companies plug into global value chains,” Mr Gan said.
“With this new facility, I hope to see even more local and global suppliers grow alongside Applied, and add depth to Singapore’s semiconductor ecosystem.”