In an effort to continue expanding its silicon carbide (SiC) production capacity, Infineon announced a multi-year supply and cooperation agreement with Resonac, formerly Showa Denko, to complement and extend an agreement they already have in 2021. The new contract will deepen their long-term collaboration in the supply of SiC materials and Resonac will supply a double-digit share of Infineon's estimated demand for SiC wafers over the next 10 years.
Peter Wawer, president of Infineon's Industrial Power Control Business group, said the next few years will see significant business opportunities in renewable energy generation, storage, electric mobility and infrastructure. This partnership with Resonac will provide a strong boost to Infineon, which is doubling its investment in its silicon carbide technology and product portfolio.
Resonac will initially supply 6-inch SiC wafers and will move to 8-inch wafers over the term of the contract, while Infineon will also provide Resonac IP for SiC material technology. The partnership will help stabilize supply chains and fuel the rapid growth of the emerging semiconductor material SiC.
Infineon is actively expanding its SiC device capacity to reach its target of 30% market share by 2030. Infineon SiC's capacity is expected to grow tenfold by 2027, while a new plant in Kulim, Malaysia, is scheduled to begin production in 2024.
Angelique van der Burg, Infineon's Chief Purchasing Officer, stressed that demand for SiC is growing rapidly and that Infineon has decided to deepen and strengthen its Resonac relationship by significantly expanding our capacity to prepare for such a development.
Resonac, an 84-year-old chemical giant formerly known as Showa Denko, has a leading market share in key semiconductor packaging materials such as copper clad plates, film and SiC epitaxy wafers, and aims to increase chip materials revenue to 45 per cent of overall sales by 2030 from 31 per cent in 2021, according to data.
Resonac plans to increase production of silicon carbide epitaxial wafers to 50, 000 wafers per month by 2026, about five times its current capacity. By 2025, it will begin mass production of 8-inch silicon carbide substrates, which will enable it to cut more semiconductor chips and increase production efficiency.
Source: Core wisdom news