Infineon signs two-year deal to secure SiC wafer supply

By Nitin Dahad for EETIMES – Infineon Technologies 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.

Infineon SiC-Wafer
A silicon carbide wafer(Source: Infineon Technologies, 2021)

The deal is part of a multi-sourcing strategy for Infineon to secure more base material to address a growing demand for SiC-based products. The contract between Infineon and Showa Denko has a two-year term with an extension option.

SiC enables highly efficient and robust power semiconductors that are particularly useful for 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% annually [according to analyst firm Yole Développement] over the next five years,” said 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 multi-sourcing strategy. It will support us to reliably meet the growing demand mid to long term. 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.”

Speaking for Showa Denko, Jiro Ishikawa, its senior managing corporate officer, said, “We are proud to be able to provide Infineon with best-in-class SiC material and our cutting-edge epitaxy technology. Our aim is to continuously improve our SiC material and develop the next technology.”

According to Yole, automotive has become the killer application for SiC, especially since carmakers like Tesla adopted SiC in its main inverter, and Audi, Volkswagen, and Hyundai and others are expected to adopt SiC in their next generation models.


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