Analog/Mixed Signal

Infineon expands SiC wafer deal with Wolfspeed

24 January 2024

To bolster its growing demand for silicon carbide (SiC) for use in automotive, solar and electric vehicle (EV) applications, Infineon is expanding its agreement with Wolfspeed Inc. to secure a supply of SiC wafers.

The multi-year capacity reservation agreement will give Infineon a secured supply of SiC semiconductor products on Wolfspeed’s 150 mm process technology.

“As the demand for silicon carbide devices continues to increase, we are following a multi-source strategy to secure access to a high-quality, global and long-term supply base of 150 mm and 200 mm SiC wafers,” said Jochen Hanebeck, CEO of Infineon Technologies. “Our prolonged partnership with Wolfspeed further strengthens Infineon’s supply chain resilience for the coming years.”

Additionally, Infineon said the agreement will also allow it to continue to diversify its supplier and material base.

The deal marks the continued push by Infineon to secure SiC wafers for future demand. This includes:

Why it matters

After many years of struggling to get a foothold in the semiconductor market, SiC demand is booming thanks to two primary reasons: EVs and renewable energy infrastructure.

SiC-based semiconductors enable smaller, lighter and more cost-effective designs. This converts energy more efficiently for cleaner energy applications.

According to Wolfspeed, SiC-based devices is slated to grow substantially through 2030, representing a $20 billion annual opportunity.

That’s why Wolfspeed has been significantly active in the SiC market during the past year including building its first fab in Europe specifically for SiC wafers, securing a long-term semiconductor deal with Renesas and divesting some of its portfolio to focus specifically on SiC growth.

And Infineon and Wolfspeed are just one of numerous companies jumping on board to take advantage of the demand rising for these semiconductors. This is likely a trend that will continue throughout 2024 as EVs and renewable energy applications grow.

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