New Wafer Fab in Kulim

Infineon to Invest More Than 2 Billion Euros for SiC and GaN

17. Februar 2022, 14:19 Uhr | Ralf Higgelke
Infineon, Kulim
Aerial view of Infineon's front-end manufacturing facility in Kulim, Malaysia
© Infineon Technologies

Infineon invests more than 2 billion euros in a third module at its site in Kulim, Malaysia, primarily for the manufacturing of products based on silicon carbide and gallium nitride. This investment is also intended to strengthen the resilience of the supply chain for wide bandgap semiconductors.

Today, Infineon announced an investment of more than 2 billion euros to strengthen its leading position in the wide bandgap semiconductor (SiC and GaN) market. For this, the company is investing more than 2 billion euros in a new front-end manufacturing facility in Kulim, Malaysia. At full capacity, this wafer fab will contribute another 2 billion euros in annual sales of products based on SiC and GaN.

"By expanding our SiC and GaN capacities, we at Infineon are preparing for the accelerated growth of the compound semiconductor market," said Jochen Hanebeck, member of Infineon's Management Board and Chief Operations Officer. "By combining the development competence center in Villach with the cost-efficient manufacturing of SiC and GaN power semiconductors in Kulim, we are creating a winning combination." Having two sites with manufacturing competencies in wide bandgap semiconductors should also strengthen the resilience of the supply chain.

At full capacity, Kulim 3 will provide around 900 high-value jobs. Construction work is scheduled to start in June 2022 and the new fab is expected to be ready for equipment in the summer of 2024. The first manufactured wafers are expected to leave the production line in the second half of 2024. The investment in Kulim will include processes with high value added, in particular epitaxy and wafer singulation.

By repurposing existing silicon semiconductor equipment in the coming years, the Villach site will continue to serve as an innovation base and global competence center for compound semiconductors. By reusing non-specific equipment, existing 6” and 8” silicon production lines will be repurposed for SiC and GaN. Currently, the Villach site is preparing for further growth opportunities.

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