EnSilica signs multi-million pound optical computing contract

(Sharecast News) - EnSilica has signed a multimillion-pound contract to provide design and manufacturing services to an unnamed optical computing systems company, the chipmaker said on Monday. The AIM-traded firm said the deal would contribute to revenue in the current and next two financial years.

It said the agreement expanded on an initial study phase, and included a substantial design services component alongside manufacturing services.

EnSilica said the contract reflected increasing customer demand for integrated solutions and stems from its strengthened partnerships across the semiconductor supply chain, including wafer foundries and packaging providers.

The company said it was now offering a full turnkey service model covering wafer supply, packaging and device testing in addition to design.

tHAT approach, already used by leading Asian ASIC providers such as Socionext and Global UniChip, WAS aimed at supporting the development of a more resilient, European-based semiconductor supply chain, the board explained.

To support continued growth, EnSilica said it had opened a second design centre in Campinas, Brazil.

The new site built on its existing presence in the country, and would help meet growing demand by expanding the company's engineering capabilities in a region with a strong semiconductor ecosystem.

"We are pleased to secure this sizable contract with a pioneering optical computing systems company," said chief executive officer Ian Lankshear.

"This agreement not only underscores our capabilities in delivering comprehensive design and manufacturing services but also highlights the growing demand for European-based supply chains."

Lankshear said the company's strengthened relationships with key wafer foundry and semiconductor supply chain partners enabled it to provide high-quality wafers, packages, and completed tested devices.

"We are also delighted to be opening our second design centre in Brazil, which further underscores our strategic ambitions to expand our global footprint in order to meet the increasing demand for our services."

At 0900 GMT, shares in EnSilica were up 5.13% at 41p.

Reporting by Josh White for Sharecast.com.