II-VI Incorporated Signs Multi-Year Contract to Supply Infineon with Silicon Carbide Substrates for Power Electronics
II‐VI Incorporated (Nasdaq: IIVI), a leader in wide-bandgap compound semiconductors, today announced that it closed a multi-year contract to supply Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) with 150 mm silicon carbide (SiC) substrates for power electronics.
The skyrocketing growth of the electric vehicle (EV) market is driving demand for SiC-based power electronics in EV drivetrains, onboard battery charging units, and charging infrastructure. SiC enables power electronics to be smaller and more efficient, with a lower total system-level cost of ownership than state-of-the-art silicon-based devices. With this contract, Infineon is taking the strategic step to secure its supply of 150 mm SiC substrates. II-VI and Infineon will also collaborate in the transition to 200 mm SiC substrates.
“Infineon, as a market leader in power semiconductors, is an important partner for us,” said Sohail Khan, Executive Vice President, New Ventures & Wide-Bandgap Electronics Technologies at II-VI. “Our highly specialized products are now helping Infineon provide innovative electronic components to key customers worldwide.”
“SiC compound semiconductors set new standards in power density and efficiency. We are leveraging them to deliver on our strategy of decarbonization and digitalization,” said Angelique van der Burg, Chief Procurement Officer at Infineon. “Infineon is increasing investments in its SiC manufacturing capacity to meet the rapidly growing demand from our customers. We are pleased to add II-VI to our strategic supplier base and grow our business together.”
II-VI announced in March 2022 that it is accelerating its investment in 150 mm and 200 mm SiC substrate manufacturing with a large-scale factory expansion at its nearly 300,000 square foot factory in Easton, Pennsylvania. With this expansion, II-VI will reach the equivalent of 1 million 150 mm substrates annually by 2027, with the proportion of 200 mm substrates growing over time.
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