Singapore Chip Firms Pivot to US as AI Demand Skyrockets

The global artificial intelligence boom is driving Singapore semiconductor firms to establish a foothold in the United States. The race to keep pace is intensifying across the supply chain.

AEM Holdings, which manufactures semiconductor testing equipment, has set up its main R&D hub in San Diego. CEO Samer Kabbani said product cycles have collapsed: "It's like you jump from the plane and assemble the parachute as you're landing." The move is expected to double production capacity by year-end.

Enterprise Singapore noted that US AI investment, which hit US$297 billion in Q1 2026, is creating opportunities for supporting firms. NexGen Wafer Systems is also expanding its US presence to engage directly with major players like Intel.