AMSTERDAM, 16/09/00 - Philips is shifting the head office of its Components division out of Eindhoven. The division will from now on be led from Sunnyvale in California. The 44 year old American Matt Madeiros is to head the division with immediate effect.

Philips is moving the Components headquarters to Silicone Valley with an eye to a "rapid growth strategy", the company announced Friday. Philips sees Silicone Valley as the world's beating heart of digital technology. The Components division focuses on the production of electronic and digital components for computers.

Another goal of the relocation is to strengthen Philips' presence in the United States. The new Components chief, a group director at Philips since 1988, will also be the successor of Gerard Kleisterlee, the company's new crown prince who is to succeed its present CEO.