• STMicroelectronics Introduced Generation 4 STPOWER SiC MOSFET Technology

    STMicroelectronics Introduced Generation 4 STPOWER SiC MOSFET Technology

    4 Min Read

    STMicroelectronics introduced its fourth generation STPOWER silicon carbide (SiC) MOSFET technology. The Generation 4 technology brings new benchmarks in power efficiency, power density and robustness. While serving the needs of both the automotive and industrial markets, the new technology is particularly optimized for traction inverters, the key component of electric vehicle (EV) powertrains. The company plans to introduce further advanced SiC technology innovations through 2027 as a commitment to innovation.

    “STMicroelectronics is committed to driving the future of electric mobility and industrial efficiency through our cutting-edge silicon carbide technology. We continue to advance SiC MOSFET technology with innovations in the device, advanced packages, and power modules,” said Marco Cassis, President, Analog, Power & Discrete, MEMS and Sensors Group. “Together with our vertically integrated manufacturing strategy, we are delivering industry leading SiC technology performance and a resilient supply chain to meet the growing needs of our customers and contribute to a more sustainable future.”

    As the market leader in SiC power MOSFETs, ST is driving further innovation to exploit SiC’s higher efficiency and greater power density compared to silicon devices. This latest generation of SiC devices is conceived to benefit future EV traction inverter platforms, with further advances in size and energy-saving potential. While the EV market continues to grow, challenges remain to achieve widespread adoption and car makers are looking to deliver more affordable electric cars.

    800V EV bus drive systems based on SiC have enabled faster charging and reduced EV weight, allowing car makers to produce vehicles with longer driving ranges for premium models. ST’s new SiC MOSFET devices, which will be made available in 750V and 1200V classes, will improve energy efficiency and performance of both 400V and 800V EV bus traction inverters, bringing the advantages of SiC to mid-size and compact EVs — key segments to help achieve mass market adoption.

    The new generation SiC technology is also suitable for a variety of high-power industrial applications, including solar inverters, energy storage solutions and datacenters, significantly improving energy efficiency for these growing applications.

    ST has completed qualification of the 750V class of the fourth generation SiC technology platform and expects to complete qualification of the 1200V class in the first quarter of 2025. Commercial availability of devices with nominal voltage ratings of 750V and 1200V will follow, allowing designers to address applications operating from standard AC-line voltages up to high-voltage EV batteries and chargers.

    ST’s Generation 4 SiC MOSFETs provide higher efficiency, smaller components, reduced weight, and extended driving range compared to silicon-based solutions. These benefits are critical for achieving widespread adoption of EVs and leading EV manufacturers are engaged with ST to introduce the Generation 4 SiC technology into their vehicles, enhancing performance and energy efficiency. While the primary application is EV traction inverters, ST’s Generation 4 SiC MOSFETs are also suitable for use in high-power industrial motor drives, benefiting from the devices’ improved switching performance and robustness.

    This results in more efficient and reliable motor control, reducing energy consumption and operational costs in industrial settings. In renewable energy applications, the Generation 4 SiC MOSFETs enhance the efficiency of solar inverters and energy storage systems, contributing to more sustainable and cost-effective energy solutions. Additionally, these SiC MOSFETs can be utilized in power supply units for server datacenters for AI, where their high efficiency and compact size are crucial for the significant power demands and thermal management challenges.

    To accelerate the development of SiC power devices through its vertically integrated manufacturing strategy, ST is developing multiple SiC technology innovations in parallel to advance power device technologies over the next three years. The fifth generation of ST SiC power devices will feature an innovative high-power density technology based on planar structure.  ST is at the same time developing a radical innovation that promises outstanding on-resistance RDS(on) value at high temperatures and further RDS(on) reduction, compared to existing SiC technologies.

    ST will attend ICSCRM 2024, the annual scientific and industry conference exploring the newest achievements in SiC and other wide bandgap semiconductors. The event, from September 29 to October 04, 2024, in Raleigh, North Carolina will include ST technical presentations and an industrial keynote on ‘High volume industrial environment for leading edge technologies in SiC’.

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  • Vishay Intertechnology Takes Restructuring Actions to Optimize Manufacturing Footprint

    Vishay Intertechnology Takes Restructuring Actions to Optimize Manufacturing Footprint

    3 Min Read

    Vishay Intertechnology, Inc. announced that it is implementing restructuring actions designed to optimize the Company’s manufacturing footprint and streamline business decision making as it executes its Vishay 3.0 growth strategy.

    The restructuring actions will be implemented in phases and include:

    • Selling, general, and administrative functions will be streamlined beginning immediately and through 4Q 2025, resulting in severance payments to approximately 170 employees, or 6% of the SG&A workforce.
    • The closure of three manufacturing facilities. A Diodes segment back-end facility in Shanghai, China is expected to be closed by the end of 2026 with production transfers completed in phases beginning 4Q 2025. In addition, two small facilities in the Resistors segment in Fichtelberg, Germany, and in Milwaukee, Wisconsin, are expected to be closed in 2026. As a result of these facility closures, Vishay will reduce its direct labor by approximately 365 employees, or 2% of its total manufacturing labor workforce.
    • Various changes in manufacturing operations and production transfers, which will result in severance payments to approximately 260 employees.

    The Company expects to incur pre-tax cash charges of approximately $38 to $42 million, primarily related to severance costs, as a result of these programs, mostly in 3Q 2024. Once the program is fully implemented by the end of 2026, Vishay expects to realize annualized cost savings of at least $23 million of which approximately $12 million is expected to be in selling, general and administration expenses. The Company expects to realize immediate annualized cost savings of approximately $9 million. Beginning 1Q 2025, the Company expects to realize approximately $12 million in annualized cost savings.  

    “As we implement Vishay 3.0, reshaping the Company and preparing for our next phase of growth, we continuously task ourselves with identifying opportunities to best foster a business minded approach to decision making, further enhance our customer first focus and improve cost efficiencies,” said Joel Smejkal, Vishay’s President and Chief Executive Officer.

    “With that in mind, we are undertaking these restructuring actions in part to eliminate barriers to execution and to intensify the sense of urgency. We’re also taking our first step to optimize our global manufacturing footprint, closing smaller single product line facilities and moving toward campus manufacturing structures with multiple product lines. Collectively, these actions will help us execute our five-year growth strategy to accelerate our revenue growth rate, expand profitability and drive higher returns.”

    The Company’s estimates of the costs related to its cost reduction programs and anticipated annual savings represent its current best estimates.  However, such estimates are preliminary and subject to change as the Company implements these programs.

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  • Resonac and Soitec to Develop 200mm SmartSiC™ Silicon Carbide Wafers using Resonac Substrates and Epitaxy

    Resonac and Soitec to Develop 200mm SmartSiC™ Silicon Carbide Wafers using Resonac Substrates and Epitaxy

    2 Min Read

    Resonac Corporation (formerly Showa Denko K.K.) and Soitec have signed an agreement to develop 200mm (8-inch) SmartSiC™ silicon carbide (SiC) wafers using Resonac substrates and epitaxy processes, in a major step for the deployment of Soitec’s high-yielding silicon carbide technology in Japan and other international markets.

    SmartSiC™ silicon carbide is a disruptive compound semiconductor material providing superior performance and efficiency over silicon in high-growth power applications for electric mobility and industrial processes. It allows for more efficient power conversion, lighter and more compact designs and overall system cost savings – all key factors for success in automotive and industrial systems.

    Christophe Maleville, Chief Technology Officer at Soitec, commented: “Silicon carbide is beingadopted for EV and industrial applications, where it brings a significant system cost advantage. To further accelerate this adoption, silicon carbide yield and productivity must be improved. Associating Resonac premium quality SiC materials with Soitec’s unique 200mm (8-inch) SmartSiC™ technology will support volume availability of record quality epi-ready substrate. The combination of our respective technologies and products will optimize these substrates using Resonac’s high-quality epitaxy. Soitec is proud and excited to be partnering with Resonac to develop a best-in-class combined SiC product offering for Japan and the world.”

    Makoto Takeda, General Manager of Device Solutions Business Unit at Resonac, commented: “We are delighted to announce this partnership with Soitec, which is fully aligned with our broader commitment to sustainable and energy-efficient semiconductor solutions. By combining Resonac’s high quality monocrystalline silicon carbide wafers with Soitec’s unique SmartSiC™ technology, we will deliver improved production efficiency of 200mm (8-inch) silicon carbide wafers and diversify the epi-wafer supply chain.”

    Soitec’s SmartSiC™ silicon carbide wafers, or engineered substrates, are produced using the company’s proprietary SmartCut™ technology to bond an ultra-fine layer of high-quality monoSiC ‘donor’ wafer to a low-resistivity polycrystalline (poly-SiC) ‘handle’ wafer. The resulting engineered substrate delivers significantly improved device performance and manufacturing yields. By allowing multiple re-uses of the prime quality mono-SiC wafer, the process also reduces overall energy consumption during wafer manufacturing.

    Soitec has a new fabrication plant at its headquarters in Bernin, France, primarily dedicated to the production of SmartSiC™ wafers for electric vehicles, renewable energy and industrial equipment component applications.

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  • Infineon Technologies to Shape Rapidly Growing GaN Market with Groundbreaking GaN 300 mm Technology

    Infineon Technologies to Shape Rapidly Growing GaN Market with Groundbreaking GaN 300 mm Technology

    3 Min Read

    Infineon Technologies AG announced that the company has succeeded in developing the world’s first 300 mm power gallium nitride (GaN) wafer technology. Infineon is the first company in the world to master this groundbreaking technology in an existing and scalable high-volume manufacturing environment. The breakthrough will help substantially drive the market for GaN-based power semiconductors.

    Chip production on 300 mm wafers is technologically more advanced and significantly more efficient compared to 200 mm wafers, since the bigger wafer diameter fits 2.3 times as many chips per wafer.

    GaN-based power semiconductors find fast adoption in industrial, automotive, and consumer, computing & communication applications, including power supplies for AI systems, solar inverters, chargers and adapters, and motor-control systems. State-of-the art GaN manufacturing processes lead to improved device performance resulting in benefits in end customers’ applications as it enables efficiency performance, smaller size, lighter weight, and lower overall cost. Furthermore, 300 mm manufacturing ensures superior customer supply stability through scalability.

    “This remarkable success is the result of our innovative strength and the dedicated work of our global team to demonstrate our position as the innovation leader in GaN and power systems,” said Jochen Hanebeck, CEO of Infineon Technologies AG. “The technological breakthrough will be an industry game-changer and enable us to unlock the full potential of gallium nitride. Nearly one year after the acquisition of GaN Systems, we are demonstrating again that we are determined to be a leader in the fast-growing GaN market. As a leader in power systems, Infineon is mastering all three relevant materials: silicon, silicon carbide and gallium nitride.”

    Infineon has succeeded in manufacturing 300 mm GaN wafers on an integrated pilot line in existing 300 mm silicon production in its power fab in Villach (Austria). The company is leveraging well-established competence in the existing production of 300 mm silicon and 200 mm GaN. Infineon will further scale GaN capacity aligned with market needs. 300 mm GaN manufacturing will put Infineon in a position to shape the growing GaN market which is estimated to reach several billion US-Dollars by the end of the decade.

    This pioneering technological success underlines Infineon’s position as a global semiconductor leader in power systems and IoT. Infineon is implementing 300 mm GaN to strengthen existing and enabling new solutions and application fields with an increasingly cost-effective value proposition and the ability to address the full range of customer systems. Infineon will present the first 300 mm GaN wafers to the public at the electronica trade show in November 2024 in Munich.

    A significant advantage of 300 mm GaN technology is that it can utilize existing 300 mm silicon manufacturing equipment, since gallium nitride and silicon are very similar in manufacturing processes. Infineon’s existing high-volume silicon 300 mm production lines are ideal to pilot reliable GaN technology, allowing accelerated implementation and efficient use of capital. Fully scaled 300 mm GaN production will contribute to GaN cost parity with silicon on R DS(on) level, which means cost parity for comparable Si and GaN products.

    300 mm GaN is another milestone in Infineon’s strategic innovation leadership and supports Infineon’s mission of decarbonization and digitalization.

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  • Infineon Technologies Development Team Brings the World's First SiC Trench MOSFET in 3300V Voltage Class to Series Production

    Infineon Technologies Development Team Brings the World’s First SiC Trench MOSFET in 3300V Voltage Class to Series Production

    4 Min Read

    Infineon Technologies AG has been nominated for the Deutscher Zukunftspreis 2024, the Federal President’s Award for Technology and Innovation, for its development of a new type of energy-saving chip based on the innovative semiconductor material silicon carbide (SiC). The Jury of Deutscher Zukunftspreis has announced the three nominated teams in Munich.

    A team of developers from Infineon, together with Chemnitz University of Technology, has succeeded in developing the world’s first silicon carbide MOSFET with a vertical channel (trench MOSFET) and innovative copper contacting in the 3300V voltage class. The new SiC modules and the power converters equipped with the modules represent a revolutionary innovation leap in semiconductor technology from conventional silicon to more energy-efficient silicon carbide, which reduces switching losses in high-current applications by 90%.

    MOSFETs are electrical switches for a wide range of applications. Trench MOSFETs differ from so-called planar MOSFETs in their cell structure and performance. While the current flow in planar MOSFETs is initially horizontal, trench MOSFETs offer purely vertical channels. This results in a higher cell density per surface area, which in turn significantly reduces the losses in the chip during energy conversion and therefore increases efficiency.

    “The transition towards green energy and many other pressing challenges of our time can only be solved with technological progress,” said Jochen Hanebeck, CEO of Infineon Technologies AG. “It is therefore important to promote and reward innovation and make it visible in society. The ‘Deutscher Zukunftspreis’ is the most important national award that is presented with this aim in mind. The nomination is a great honor for us and proof of the successful research and development work at Infineon. Congratulations to all colleagues involved!”

    The CoolSiC™ XHP™2 module family enables significant energy savings, for example in industrial power generation in solar parks or wind turbines, in power transmission and, above all, in end consumption, where high energies in the megawatt range are required. A single train with a silicon carbide drive system can save around 300 MWh per year compared to the previous silicon-based solution. This is roughly equivalent to the annual consumption of 100 single-family homes. Together with drive technology manufacturers and rail operators, Infineon is making an important contribution to decarbonization. At the same time, local residents also benefit from the lower noise level of trains with SiC modules when they pass through residential areas.

    Through numerous innovative developments in chip processing and design as well as contacting and module technology, the team led by Dr. Konrad Schraml, Dr. Caspar Leendertz (both Infineon) and Prof. Dr. Thomas Basler (Chemnitz University of Technology) has brought the 3300V CoolSiC XHP2 high-performance module to production readiness. With ten times greater reliability against thermomechanical stress and a significantly higher power density compared to silicon modules, the new silicon carbide module can also be used to electrify large drives in diesel locomotives, agricultural and construction machinery, aircraft and ships, which were previously reserved for fossil fuels. The significantly higher switching frequencies permitted by the new module are helpful, as they enable a significant reduction in weight and volume of the power converters in the application. 

    “This nomination shows that climate change and sustainable resource consumption have become central aspects of our society,” said Dr. Peter Wawer, Division President Green Industrial Power (GIP) at Infineon. “Innovative energy solutions and power semiconductors are a core component in decarbonization and fighting climate change, as the expert jury of Deutscher Zukunftspreis has recognized. I am proud that we at Infineon can make a significant contribution to a green future with pioneering technology.”

    Project manager Dr. Konrad Schraml: “For us as a development team, it is a matter close to our hearts to develop innovative chips that contribute to efficient energy consumption and thus also to green mobility on our planet. This nomination is a great recognition for my team, whose tireless efforts, expertise and passion for sustainability have made the technology breakthrough in silicon carbide possible.”

    On November 27, Federal President Frank-Walter Steinmeier presents the Deutscher Zukunftspreis to the winning team in Berlin.

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  • Wolfspeed Unveiled a 2300V Silicon Carbide Module for 1500V DC Bus Applications

    Wolfspeed Unveiled a 2300V Silicon Carbide Module for 1500V DC Bus Applications

    2 Min Read

    Wolfspeed, Inc. unveiled a silicon carbide module designed to transform the renewable energy, energy storage, and high-capacity fast-charging sectors through improved efficiency, durability, reliability, and scalability. The 2300V baseplate-less silicon carbide power modules for 1500V DC Bus applications were developed and launched utilizing Wolfspeed’s state-of-the-art 200mm silicon carbide wafers.

    Wolfspeed also announced that it is partnering with EPC Power, a premier North American utility-scale inverter manufacturer. EPC Power will be employing the Wolfspeed® modules in utility-grade solar and energy storage systems, which offer a scalable high-power conversion system and high-performance controls and system redundancy.

    “The solar and energy storage market remains among the fastest-growing segments of the renewable energy industry. As the pioneers of silicon carbide, we are driven to create solutions that will open the door to a new era of modern energy,” said Jay Cameron, Wolfspeed Senior Vice President and General Manager, Power. “Energy efficiency, reliability, and scalability are top of mind for our customers, such as EPC Power, who recognize the substantial advantages Wolfspeed’s silicon carbide brings to the table.”

    “Silicon carbide devices open the door to a step-change in inverter performance and reliability. With our commitment to extreme reliability, performance, and security in our new ‘M’ inverter while also forging a deep commercial relationship with key suppliers, Wolfspeed was the obvious choice,” said Devin Dilley, President and Chief Product Officer, EPC Power.

    With mounting global investment in renewable energy, the solar energy market is estimated to reach a $300 billion market capitalization by 2032. According to the International Energy Agency (IEA), 2024-25 will see the highest energy demand growth rate since 2007, reinforcing the need for efficient and reliable clean power. Wolfspeed’s silicon carbide solution helps bridge this crucial gap, supporting the next era of modern energy technologies while reinforcing U.S. clean energy manufacturing leadership.

    Cameron continued, “This platform further validates our investments in 200mm wafer technology and production as the potential of silicon carbide continues to be recognized by industry leaders across all mission-critical applications.”

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  • Shin-Etsu Chemical Created a 300-mm QST Substrate

    Shin-Etsu Chemical Created a 300-mm QST Substrate

    2 Min Read

    Shin-Etsu Chemical Co., Ltd. has created a 300-mm (12-inch) QSTTM substrate, which is a substrate dedicated to GaN epitaxial growth, and recently started supplying samples.

    Shin-Etsu Chemical has sold 150-mm (6-inch) and 200-mm (8-inch) QSTTM substrates and GaN on QSTTM epitaxial substrates of each diameter. Meanwhile, the company worked on further increasing the diameter in response to strong customer demand and successfully developed a 300-mm (12-inch) QSTTM substrate. GaN device manufacturers cannot benefit from increasing the diameter of materials because of the lack in large-diameter substrate suitable for GaN growth, despite the fact that they can use the existing Si production line for GaN.

    This 300-mm QSTTM substrate enables GaN epitaxial growth without warping or cracks, which was unattainable on Si substrates, thus significantly reducing device costs. In addition to the enhancement of facilities for 150-mm and 200-mm QSTTM substrates already in progress, Shin-Etsu Chemical will work on mass-producing 300-mm QSTTM substrates.

    Since QSTTM substrates have the same coefficient of thermal expansion as that of GaN, it is possible to constrain warping and cracks of GaN epitaxial layer on QSTTM substrate of the SEMI standard thickness. This substrate material allows for high-quality and thick GaN epitaxial growth with a large diameter. Leveraging this feature, many customers are evaluating QSTTM substrates and GaN on QSTTM epitaxial substrates for power devices, high-frequency devices, and LEDs. Despite the challenging business environment, customers have entered the development phase toward practical to address the recently increasing interest in power devices, including power supplies for data centers.

    The addition of the 300-mm QSTTM substrate to the lineup of the 150-mm and 200-mm can significantly accelerate the spread of GaN devices. Shin-Etsu Chemical is committed to contribute to the realization of a sustainable society where energy can be used efficiently through the social implementation of GaN devices.

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  • Professor Baliga Awarded 2024 Millennium Technology Prize for Invention of IGBT

    Professor Baliga Awarded 2024 Millennium Technology Prize for Invention of IGBT

    4 Min Read

    North Carolina State University Professor B. Jayant Baliga has been awarded the 2024 Millennium Technology Prize for his work on the invention, development and commercialization of insulated gate bipolar transistors (IGBTs), which play a critical role in energy efficiency for technologies worldwide. The Millennium Technology Prize, which comes with a €1 million award, is the most prestigious international award focused on recognizing technological innovation.

    The IGBT is an energy-saving semiconductor switch that controls the flow of power from an electrical energy source to any application that needs energy. The IGBT improves energy efficiency by more than 40 percent in an array of products, from cars and refrigerators to light bulbs, and is a critical component enabling modern compact cardiac defibrillators.

    The IGBT has reduced global carbon dioxide emissions by over 82 gigatons (180 trillion pounds) over the past 30 years. This is equivalent to offsetting carbon dioxide emissions from all human activity for three years, based on average emissions of the past 30 years.

    “The IGBT has already had and continues to have a major impact on supporting sustainability with improved living standards worldwide, while mitigating environmental impact,” says Minna Palmroth, chair of the Board of Technology Academy Finland, the foundation which awards the Millennium Technology Prize. “The main solution to tackle global warming is electrification and moving to renewable energy. The IGBT is the key enabling technology in addressing these issues.”

    “It is very exciting to have been selected for this great honor,” says Baliga, who is the Progress Energy Distinguished University Emeritus Professor of Electrical and Computer Engineering at NC State.

    “I am particularly happy that the Millennium Technology Prize will bring attention to my innovation, as the IGBT is an embedded technology that is hidden from the eyes of society. It has enabled a vast array of products that have improved the comfort, convenience and health of billions of people around the world while reducing carbon dioxide emissions to mitigate global warming. Informing the public of this impactful innovation will illustrate the betterment of humanity by modern technology.”

    Baliga’s portfolio of 123 U.S. patents includes many other inventions that have also been commercialized. The split-gate power MOSFET is widely manufactured for use in laptops, PCs and servers. And his silicon carbide inventions – including the JBS rectifier and shielded channel power MOSFET – are used in a variety of state-of-the-art electrical power management technologies.

    Baliga – who Forbes has called “the man with the world’s largest negative carbon footprint” – continues to work on technological challenges related to energy efficiency. He and his collaborators are currently working on new inventions to improve efficiencies related to solar power generation, electric vehicles and power delivery for AI servers.

    The Millennium Technology Prize will be presented to Professor Bantval Jayant Baliga in Finland on Oct. 30 in an award ceremony that also celebrates the 20th anniversary of the prize. The prize will be presented by its patron, the president of Finland.

    The €1 million Millennium Technology Prize is the preeminent award focused on technological innovations for a better life. This includes work that improves human well-being, biodiversity and wider sustainability. Overseen by the Technology Academy Finland, it was first awarded in 2004, and its patron is the President of Finland. Winners are selected by a distinguished international panel of experts from academia and industry. Innovations must be backed up by rigorous academic and scientific research and fulfill several criteria, including promoting sustainable development and biodiversity, having generated applications with commercial viability, and creating accessible socio-economic value.

    Past winning innovations range from DNA sequencing that helped to develop COVID-19 vaccines, to ethical stem-cell research and versatile, affordable smart technology. Visit the Millennium Prize website for more information.

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  • ROHM's 4th Gen SiC MOSFET Chips Used in ZEEKR

    ROHM’s 4th Gen SiC MOSFET Chips Used in ZEEKR

    2 Min Read

    ROHM announced the adoption of power modules equipped with 4th generation SiC MOSFET bare chips for the traction inverters in three models of ZEEKR EV brand from Zhejiang Geely Holding Group (Geely), a top 10 global automaker. Since 2023, these power modules have been mass produced and shipped from HAIMOSIC (SHANGHAI) Co., Ltd. – a joint venture between ROHM and Zhenghai Group Co., Ltd. to Viridi E-Mobility Technology (Ningbo) Co., Ltd, a Tier 1 manufacturer under Geely.

    Geely and ROHM have been collaborating since 2018, beginning with technical exchanges, then later forming a strategic partnership focused on SiC power devices in 2021. This led to the integration of ROHM’s SiC MOSFETs into the traction inverters of three models: the ZEEKR X, 009, and 001. In each of these EVs, ROHM’s power solutions centered on SiC MOSFETs play a key role in extending the cruising range and enhancing overall performance.

    ROHM is committed to advancing SiC technology, with plans to launch 5th generation SiC MOSFETs in 2025 while accelerating market introduction of 6th and 7th generation devices. What’s more, by offering SiC in various forms, including bare chips, discrete components, and modules, ROHM is able to promote the widespread adoption of SiC technology, contributing to the creation of a sustainable society.

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  • Texas Instruments to Receive $1.6 billion in CHIPS and Science Act Funding to Support 300mm Fabs in Texas and Utah

    Texas Instruments to Receive $1.6 billion in CHIPS and Science Act Funding to Support 300mm Fabs in Texas and Utah

    6 Min Read

    Texas Instruments (TI) and the U.S. Department of Commerce have signed a non-binding Preliminary Memorandum of Terms for up to $1.6 billion in proposed direct funding under the CHIPS and Science Act to support three 300mm wafer fabs already under construction in Texas and Utah. In addition, TI expects to receive an estimated $6 billion to $8 billion from the U.S. Department of Treasury’s Investment Tax Credit for qualified U.S. manufacturing investments. The proposed direct funding, coupled with the investment tax credit, would help TI provide a geopolitically dependable supply of essential analog and embedded processing semiconductors.

    “The historic CHIPS Act is enabling more semiconductor manufacturing capacity in the U.S., making the semiconductor ecosystem stronger and more resilient,” said Haviv Ilan, president and CEO of Texas Instruments. “Our investments further strengthen our competitive advantage in manufacturing and technology as we expand our 300mm manufacturing operations in the U.S. With plans to grow our internal manufacturing to more than 95% by 2030, we’re building geopolitically dependable, 300mm capacity at scale to provide the analog and embedded processing chips our customers will need for years to come.”

    Since its founding more than 90 years ago, TI has been advancing technology, pioneering the transition from vacuum tubes to transistors and then to integrated circuits. Today, TI is the largest U.S. analog and embedded processing semiconductor manufacturer. TI chips are essential in nearly every type of electronic device, from cars with advanced safety and intelligence systems to life-saving medical equipment and smart appliances that make homes safer and more efficient.

    The proposed direct funding under the CHIPS Act would support TI’s investment of more than $18 billion through 2029, which is part of the company’s broader investment in manufacturing. This proposed direct funding will support three new wafer fabs, two in Sherman, Texas, (SM1 and SM2) and one in Lehi, Utah (LFAB2), specifically to:

    • Construct and build the SM1 cleanroom and complete pilot line for first production;
    • Construct and build the LFAB2 cleanroom for first production; and
    • Construct the SM2 shell.

    These connected, multi-fab sites benefit from shared infrastructure, talent and technology sharing, and a strong network of suppliers and community partners. They will produce semiconductors in 28nm to 130nm technology nodes, which provide the optimal cost, performance, power, precision and voltage levels required for TI’s broad portfolio of analog and embedded processing products.

    “With this proposed investment from the Biden-Harris Administration in TI, a global leader of production for current-generation and mature-node chips, we would help secure the supply chain for these foundational semiconductors that are used in every sector of the U.S. economy, and create tens of thousands of jobs in Texas and Utah,” said U.S. Secretary of Commerce Gina Raimondo. “The CHIPS for America program will supercharge American technology and innovation and make our country more secure – and TI is expected to be an important part of the success of the Biden-Harris Administration’s work to revitalize semiconductor manufacturing and development in the U.S.”

    With a long history of supporting its employees to build long-term, successful careers, TI is also investing in building its future workforce. TI will create more than 2,000 company jobs across its three new fabs in Texas and Utah, along with thousands of indirect jobs for construction, suppliers and supporting industries.

    “We are proud to work with Texas Instruments as they build new semiconductor fabs in Sherman and solidify Texas as the best state for semiconductors. Texas Instruments invented the microchip in Texas, and we are honored to be home to TI’s semiconductor manufacturing facilities in Dallas, Richardson and Sherman,” said Texas Gov. Greg Abbott. “With this latest project, TI is building on its more than 90-year legacy in Texas and adding thousands of good-paying jobs for Texans to manufacture critically important technology.”

    “By investing in semiconductor manufacturing, we are helping secure this vulnerable supply chain, boosting our national security and global competitiveness, and creating new jobs for Texans,” said U.S. Sen. John Cornyn. “The chipmaking capabilities these resources will enable at Texas Instruments will help the U.S. reclaim its leadership role in the critically important semiconductor industry, and I look forward to seeing more Texas-led advancements in the years to come.”

    In order to build a future-ready workforce, TI is enhancing the skills of current employees, expanding internships and creating pipeline programs with a focus on building electronic and mechanical skills. TI has robust engagements with 40 community colleges, high schools and military institutions across the U.S. to develop future semiconductor talent.

    “Utah is thrilled that Texas Instruments is expanding its manufacturing presence in the Silicon Slopes, furthering the impact Utahns have on critical semiconductor technology,” said Utah Gov. Spencer Cox. “This investment in semiconductor manufacturing not only creates more jobs, but also brings supply chains back to the United States.”

    “This proposed CHIPS funding will further support Texas Instruments’ investment in its new semiconductor fab in Lehi —and enhance Utah’s vital role in our national defense and economic success,” said U.S. Senator Mitt Romney. “I was an original sponsor of the CHIPS and Science Act—which made today’s announcement possible—because in order to compete on the world stage, we must continue to promote innovation, foster scientific talent, and expand research here at home. Texas Instruments’ expanded operations will help make the United States more self-reliant for chips essential to our national security and economy.”

    TI has a long-standing commitment to responsible, sustainable manufacturing and environmental stewardship. As part of this commitment, TI continually invests in its fabrication processes and equipment to reduce energy, material and water consumption, and greenhouse gas (GHG) emissions.

    The company’s 300mm wafer fabs will be entirely powered by renewable electricity. Additionally, all of TI’s new 300mm fabs are designed to meet LEED Gold standards for structural efficiency and sustainability. TI’s 300mm manufacturing facilities bring advantages in reducing waste and improving water and energy consumption per chip.

    TI semiconductors are and will increasingly play a critical role in helping reduce the impact on the environment, helping customers create smaller, more efficient and cost-effective technology solutions that in turn drive continued innovation in electrification and the expanded usage of renewable energy.

    Original – Texas Instruments

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