Nexperia will invest $200 million to develop next-generation wide bandgap semiconductor products

In order to meet the growing long-term demand for high-efficiency power semiconductors, Nexperia will start developing and producing SiC, GaN, and Si technologies in Germany from June 2024. This initiative fully demonstrates Nexperia's strong support for key technologies in the fields of electrification and digitization. SiC and GaN semiconductors enable high-power applications such as data centers to operate with excellent efficiency, while also serving as core components for renewable energy applications and electric vehicles. These wide bandgap technologies have enormous potential and are becoming increasingly important for achieving decarbonization goals.

Achim Kempe, Chief Operating Officer and Managing Director of Nexperia Germany, stated, "This investment consolidates our position as a leading supplier of energy-efficient semiconductors, enabling us to use available electricity more responsibly. In the future, our Hamburg wafer fab will cover the full range of wide bandgap semiconductors and remain the largest small signal diode and transistor factory. We will continue to steadfastly execute our strategy to produce high-quality, cost-effective semiconductors for standard and high energy consumption applications, while addressing one of the biggest challenges of our generation: meeting growing energy demands while reducing environmental impact. The first high-voltage D-Mode GaN transistor and SiC diode production line was put into operation in June 2024. The next milestone will be the establishment of modern and cost-effective 200mm SiC MOSFET and low-voltage GaN HEMT production lines. These production lines will be completed at the Hamburg factory within the next two years. At the same time, this investment will also help further automate the existing infrastructure of the Hamburg factory and expand silicon production capacity by gradually shifting to using 200mm wafers

Stefan Tilger, CFO and Managing Director of Nexperia Germany, stated, "The planned investment enables us to design and produce wide bandgap chips in Hamburg. However, SiC and GaN are by no means new areas for Nexperia. Since 2019, our product portfolio has included GaN FETs, and in 2023, we also collaborated with Mitsubishi Electric to expand our product range by adding SiC diodes and SiC MOSFETs. Nexperia is one of the few suppliers that can provide a full range of semiconductor technology products, including Si, SiC, and GaN covering E-mode and D-mode. This means that we provide our customers with a one-stop service that can meet all their semiconductor needs. This investment is another important milestone in Nexperia's century long history at the Loch Steyr factory in Hamburg. Since the establishment of Valvo Radior ö hrenfabrik in 1924, the factory has continued to grow and now supports approximately a quarter of the global demand for small signal diodes and transistors. Since its spin off from NXP in 2017, Nexperia has invested heavily in its Hamburg factory, increasing its workforce from 950 to around 1600 and upgrading its technological infrastructure to the most advanced level. These ongoing investments highlight the company's commitment to maintaining its industry-leading position and providing innovative solutions to global customers