$225 million dollar expanded supply agreement supports steepening demand for Silicon Carbide across several key industries and among traditional semiconductor companies.
Wolfspeed, (NYSE: WOLF), the global leader in Silicon Carbide technology, announced the expansion of an existing multi-year, long-term Silicon Carbide wafer supply agreement, now worth approximately $225 million, with a power device company. The expanded agreement calls for Wolfspeed to supply the company with 150 mm Silicon Carbide bare and epitaxial wafers, reinforcing the company’s vision for an industry-wide transition from silicon to Silicon Carbide semiconductor power devices.
“Wolfspeed has an unmatched level of experience with Silicon Carbide and, as a result, is a key player in supplying the rapidly growing demand for Silicon Carbide,” said Dr. Cengiz Balkas, SVP and GM of Materials for Wolfspeed. “This agreement further strengthens our long-time cooperation with a best-in-class power semiconductor manufacturer. This well-established partnership, paired with our most recent announcement of a multi-billion-dollar materials expansion in North Carolina, is a huge step forward in our mission of transitioning the industry from silicon to Silicon Carbide.”
Wolfspeed is the global leader in the manufacturing of Silicon Carbide wafers and epitaxial wafers. The recently announced expansion of the company’s Silicon Carbide materials footprint will enhance its market leadership and improve the company’s ability to supply wafers to current and potential customers – a critical part of the larger wide bandgap semiconductor supply chain.
The adoption of Silicon Carbide-based power solutions is rapidly growing across multiple markets, including industrial and automotive. Silicon carbide solutions enable smaller, lighter and more cost-effective designs, converting energy more efficiently to unlock new clean energy applications. To better support these growing markets, device manufacturers are interested in securing access to high-quality Silicon Carbide substrates to support their customers.
The supply agreement enables Silicon Carbide applications in broad markets such as renewable energy and storage, electric vehicles, charging infrastructure, industrial power supplies, traction and variable speed drives.