Infineon increases supply security for silicon carbide by expanding the supplier base

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source: Infineon

Munich, Germany – 6 May 2021 – Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) has concluded a supply contract with the Japanese wafer manufacturer Showa Denko K.K. for an extensive range of silicon carbide material (SiC) including epitaxy. The German semiconductor manufacturer has thus secured more base material for the growing demand for SiC-based products. SiC enables highly efficient and robust power semiconductors that are used in particular in the fields of photovoltaic, industrial power supply, and charging infrastructure for electric vehicles.

“Our broad and fast growing portfolio demonstrates Infineon’s leading role in supporting and shaping the market for SiC-based semiconductors which is expected to grow 30 to 40 percent annually over the next five years”, says Peter Wawer, President of the Industrial Power Control Division at Infineon.* “The expansion of our supplier base with Showa Denko for wafers in this growth market marks an important step in our multisourcing strategy. It will support us to reliably meet the growing demand mid to longterm. Furthermore, we plan to collaborate with Showa Denko on the strategic development of the material to improve the quality while cutting costs at the same time.”

“We are proud to be able to provide Infineon with Best-in-Class SiC material and our cutting-edge epitaxy technology” says Jiro Ishikawa, Senior Managing Corporate Officer from Showa Denko K.K.. “Our aim is to continuously improve our SiC material and develop the next technology. We value Infineon as an excellent partner in this regard.”

The contract between Infineon and Showa Denko K.K. has a two-year term with an extension option. Infineon has the industry’s largest portfolio of SiC semiconductors for industrial applications.

*Source: Yole, "Compound Semiconductor Market Monitor-Module 1 Q1 2021", April 2021

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