Infineon signs supply agreement with II-VI
Infineon Technologies and II-VI Incorporated have signed a multi-year supply agreement for silicon carbide (SiC) wafers.
With the agreement, the German semiconductor manufacturer is further securing access to this strategic material to meet the strong increase in customer demand. The agreement also plays a part in Infineon's multi-sourcing strategy under which it aims to increase its supply chain resilience. The first deliveries have already taken place.
“SiC compound semiconductors set new standards in power density and efficiency. We are leveraging them to deliver on our strategy of decarbonization and digitalization,” says Angelique van der Burg, Chief Procurement Officer at Infineon, in a press release. “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.”
Infineon expects its SiC semiconductor sales to grow by more than 60% on average per year, reaching approximately USD 1 billion by mid-decade. For the second half of the decade, Infineon expects on-going growth momentum, for which it invests in its recently announced additional manufacturing block in Kulim, Malaysia.