Infineon and Wolfspeed Extend and Renew Multi-Year Supply Agreement

Creation Date

[Munich, Germany and Durham, North Carolina, USA, January 26, 2024] - Infineon Technologies AG, the global semiconductor leader in power systems and the Internet of Things, and Wolfspeed, the global leader in silicon carbide technology, have announced the expansion and extension of the long-term supply agreement for 150mm silicon carbide wafers that the parties originally signed in February 2018. With this extension, a new multi-year capacity reservation agreement has been added to the partnership. This not only contributes to the stability of Infineon's overall supply chain, but also helps to meet the growing demand for silicon carbide semiconductor products for automotive, solar and electric vehicle applications as well as energy storage systems.

Jochen Hanebeck, CEO of Infineon Technologies, said: "As the demand for silicon carbide devices continues to grow, we are adopting a multi-channel sourcing strategy to ensure a high-quality and stable long-term supply of 150mm and 200mm silicon carbide wafers worldwide. Through our long-term partnership with Wolfspeed, we are further strengthening Infineon's supply chain resilience for the years to come. for more than 20 years, we have been working hand in hand with Wolfspeed to bring advanced silicon carbide products to the automotive, industrial and energy markets and to help our customers drive decarbonization with this energy-efficient technology."

Silicon carbide-based power solutions are rapidly gaining popularity in several markets. Silicon carbide solutions enable smaller, lighter and more cost-effective designs as well as more efficient energy conversion, unlocking new clean energy applications. To further support these growing markets, Infineon is continuing to diversify its supplier base to ensure the availability of high-quality silicon carbide substrates.

Gregg Lowe, President and CEO of Wolfspeed, said: "Wolfspeed is a leading global manufacturer of silicon carbide. We provide high-quality semiconductor materials to Infineon, a leading semiconductor supplier to the automotive and industrial markets, as well as other key customers, and we continue to scale our capacity to drive the industry's transition to silicon carbide technology. According to industry estimates, the market demand for silicon carbide devices and auxiliary materials will grow significantly by 2030, generating an annual business opportunity of USD 20 billion. We are very pleased to continue our partnership with Infineon and to be its main supplier of silicon carbide wafers in the coming years."