Philips Boosts U.S. Medical Device Production with $150M Investment

Philips, a global leader in health technology, has announced a significant investment of over $150 million to expand its U.S. manufacturing and research capabilities, focusing on AI-enabled medical devices. The initiative includes major upgrades to facilities in Reedsville, Pennsylvania, and Plymouth, Minnesota, creating more than 270 skilled jobs across the two sites.

The Reedsville facility, which produces AI-powered ultrasound systems, will gain 24,000 square feet of manufacturing space and a 40,000-square-foot warehouse, generating approximately 120 new jobs. The site will also enhance its capabilities to customize ultrasound software for cardiovascular, general, and maternal care procedures. Meanwhile, the Plymouth facility, focused on image-guided therapy systems, will expand with a new medtech training center, adding over 150 jobs.

Jeff DiLullo, Chief Region Leader for Philips North America, stated, “This expansion reflects our long-term commitment to U.S. healthcare innovation. With $900 million in annual R&D investment, we’re advancing AI-driven diagnostics and treatment tools to help clinicians deliver faster, more accurate care.”

These investments build on Philips’ existing U.S. footprint, which includes 17,000 employees across 40 facilities and supports 90% of U.S. hospitals. The expansions align with broader trends in the U.S. medtech sector, emphasizing domestic production and AI-driven healthcare solutions.