The Philips Company was founded in 1891 by Gerard Philips and his father Frederik. Frederik, a banker based in Zaltbommel, financed the purchase and setup of a modest, empty factory building in Eindhoven, where the company started the production of carbon-filament lamps and other electro-technical products in 1892. This first factory has been adapted and is used as a Museum devoted to light sculpture
In 1895, after a difficult first few years and near bankruptcy, the Philipses brought in Anton, Gerard's younger brother by sixteen years. Though he had earned a degree in engineering, Anton started work as a sales representative; soon, however, he began to contribute many important business ideas. With Anton's arrival, the family business began to expand rapidly, resulting in the founding of Philips Metaalgloeilampfabriek N.V. (Philips Metal Filament Lamp Factory Inc.) in Eindhoven in 1907, followed in 1912 by the foundation of Philips Gloeilampenfabrieken N.V. (Philips Lightbulb Factories Inc.). After Gerard and Anton Philips changed their family business by founding the Philips incorporation, they laid the foundations for the later electronics multinational.
In the 1920s, the company started to manufacture other products, such as vacuum tubes. In 1939 they introduced their electric razor, the Philishave (marketed in the USA using the Norelco brand name). The "Chapel" is a radio with built-in loudspeaker, which was designed during the early 1930s.