GT Advanced Tech, ON Semi ink 5-yr deal
New Hampshire-based GT Advanced Technologies (GTAT) and ON Semiconductor executed a five-year agreement this week for production of silicon carbide (SiC).
The deal, worth approximately USD 50 million, calls for GTAT to produce and supply its CrystX silicon carbide material to ON Semiconductor, headquartered in Phoenix, Arizona. GTAT President and CEO Greg Knight said, “We are extremely pleased to be partnering with ON Semiconductor, a recognized global leader in advanced semiconductors for power electronics applications. Our agreement today helps address the very steep trajectory for SiC as the preferred semiconductor substrate material for power electronics applications.” “Combining ON Semiconductor’s 40 years of experience in high-volume wafer production with GTAT’s expertise and rapid advancement in SiC crystal growth will create a robust and scalable supply chain for the dynamic high-power wide bandgap market,” added Brent Wilson, senior vice president of global supply chain at ON Semiconductor. “We are thrilled to partner with GTAT to further develop the SiC wide bandgap material technology and strengthen our leadership in this rapidly developing field.” Cost-effective SiC material is especially effective and required in high-growth applications EV traction systems, hybrid and plug-in EVs, solar and energy storage, and EV charging, a press release said. ON Semiconductor will use GTAT’s proprietary 150mm SiC crystal to make SiC wafers.