A LinkedIn post showing Xi’an Bright Laser Technologies’ (BLT’s) headquarters, has stirred up a lot of conversation. Some complained about state support, while others were impressed by the company’s facilities. I believe many were perhaps unduly surprised by the size of the business and its integrated facility. In fact, BLT has been quite transparent about its plans, size, and achievements over the years. The company’s latest plans to expand its headquarters highlight its global ambitions. The image above is what sparked so much discussion, but below you can see the construction project the firm is undertaking, with the top image representing the current Phase I and II sections.

BLT states that it has the “World’s Largest Metal L-PBF Facility,” and this seems accurate given the absence of further announcements from orthopedic companies. It’s important to note that BLT itself is an implant producer, with the company using over 200 of its own machines to manufacture implants for many years. The company is also highly vertically integrated, handling everything from powder production to developing its own software, manufacturing its own machines, and selling parts. BLT guides customers through the entire process, from concept to industrialization. It offers both entry-level, affordable machines and large-scale systems. For example, if you’re a rocket company, BLT will help you design, develop, and manufacture your parts. You can then choose to produce the parts yourself or have BLT handle the production.

The funny thing is, of course, that people were complaining about the sheer size of BLT’s factory when it was only the Phase I and II sections of a project that will eventually expand the facility sixfold. The Phase I section, which drew all the attention, covers 100,000 square meters (1 million square feet, or just under 25 acres). Phase III will add 190,000 square meters, and BLT’s Phase IV facility is planned to be 163,200 square meters.

BLT specializes in powder bed fusion for metal, and its $170 million in 2023 revenues—up over 70% from the previous year—are both substantial and focused. The company sold 242 machines last year and appears to be performing well, with half of its revenue coming from the aerospace sector. The firm’s net income reached $20 million, which is significantly better than most AM companies. Valued at over $2.5 billion, this may be optimistic, but BLT seems to be thriving. One key advantage for BLT is that its revenue is centered on powder bed fusion, allowing R&D and investments to be tightly focused.

State Support

For those who bemoan the state support narrative, this is irrelevant. Everyone knows that China is backing strategic industries and aiming to climb higher in the tech tree—it’s policy. It’s also widely understood that 3D printing is a critical technology in areas like rocket propulsion, satellites, RF communication, hypersonics, drone manufacturing, and turbomachinery. It would be unreasonable for China not to take an interest. China stands to gain significantly if it achieves parity with the U.S. in any of these fields. Imagine if China excelled at making 3D-printed rockets or drones—it could be a decisive factor in winning a war against the U.S. So, of course, the Chinese government is supporting 3D printing, which is discussed in greater depth in the “The State of Chinese Additive Manufacturing: Market Opportunity Brief” from Additive Manufacturing Research.

Integrated and Focused

If you have vat polymerization, material extrusion, and powder bed technologies, your focus will be scattered, and your R&D budget will be split across multiple areas. But BLT is focused. It doesn’t need to consider any other technology. Its expansion into powder production was a logical move, as it significantly impacts the economics of both its service business and its customers. Anyone aiming for higher margins would naturally expand into powder production. Not doing so may seem like focus, but it’s also a missed opportunity.

While not developing software in-house is common in Europe, for BLT, it was integral to the overall experience. By controlling its own software, materials, and machines, BLT is very similar to Formlabs. Meanwhile, U.S. and European competitors, who don’t sell materials or use their own software, struggle to achieve the same success. BLT’s large service business also gives it valuable insights into production, settings, materials, and part-making. Integration within powder bed fusion allows them to learn faster and develop better tools more efficiently.

Especially in regulated industries, where process, materials, settings, procedures, machines, and materials are critical, it’s no surprise that a company controlling all aspects and sharing information internally is thriving. By controlling more variables, BLT aims to achieve better results. What many people don’t realize is that BLT has extensive resources to help customers go from concept to production, which makes it easier for them to scale with additive manufacturing.

They Have a Better Business Model

Stop complaining about companies with a better business model than yours. Yes, the state has been generous, and yes, they’re integrating everything. But wouldn’t you? They’re building a massive facility that handles powder production, part manufacturing, R&D, application development, and machine building. But wouldn’t you? You could walk into BLT with an idea, and a million orthopedic implants could come out the other door. You could know nothing about additive manufacturing, and they could help you create a rocket propulsion unit. But isn’t that exactly what you’d want?