Boulton and Watt's factory. Engraving of the factory used by Matthew Boulton and James Watt to make their steam engines during the late 18th and early 19th century. The factory was established by Boulton (1728-1809) at Soho in Birmingham, Britain, in 1762 to make small metal ornaments. Watt (1735-1819) joined Boulton in 1775 and the factory began making steam engines. The business prospered because of Watt's engineering ingenuity and Boulton's financial ability. Watt and Boulton employed William Murdock to introduce piped gas lighting in 1803 after which they added gas lighting equipment to their product range.