Overview
- Philips announced on Thursday that it will invest over $150 million to expand its U.S. manufacturing of AI-powered technologies.
- The investment will support the expansion of manufacturing and R&D operations at the company’s Reedsville, Pennsylvania facility, which produces AI-enabled ultrasound systems.
- The project will add 24,000 square feet of manufacturing space and 40,000 square feet of warehouse space to the site.
- This investment comes as Philips anticipates continued growth in its ultrasound business and seeks to streamline its global manufacturing operations.
Insight Summary
Philips’ Reedsville facility currently produces ultrasound transducers — handheld devices that emit sound waves to generate medical images.
Following the expansion, the site will also be responsible for customizing software and system configurations tailored to specific medical procedures. For instance, Philips offers an ultrasound platform designed to assist physicians in diagnosing structural heart conditions and coronary artery disease.
The expansion is expected to create 120 new manufacturing jobs at the facility.
In 2024, Philips also announced plans to grow its image-guided therapy operations in Plymouth, Minnesota, an effort projected to add 150 jobs.
The company anticipates continued growth in its ultrasound segment during the second half of the year. In a July earnings call, CEO Roy Jakobs noted strong order momentum and positive reception for newly launched ultrasound products.
EMR Industry
