Wolfspeed, Inc. (NYSE: WOLF), a prominent player in silicon carbide technology, has announced the expansion of a long-term silicon carbide wafer supply agreement with a leading global semiconductor company. The extended agreement, valued at approximately $275 million, underscores the commitment of both entities to advancing silicon carbide semiconductor power devices and addressing the industry-wide shift from silicon.
In a statement, Dr. Cengiz Balkas, Senior Vice President and General Manager of Materials for Wolfspeed, highlighted the company’s role as a key supplier of high-quality silicon carbide materials. The expanded partnership aims to meet the escalating demand for silicon carbide wafers critical for advanced semiconductor applications.
Silicon carbide-based power solutions are experiencing increased adoption across various markets, including industrial and electric vehicles (EVs). These solutions offer advantages such as smaller, lighter, and more cost-effective designs, enhancing energy efficiency and facilitating applications in electrification.
The expanded supply agreement positions Wolfspeed as a significant contributor to advancing silicon carbide applications in diverse industries, including renewable energy, electric vehicles, charging infrastructure, industrial power supplies, traction, and variable speed drives.
As the global leader in silicon carbide wafer manufacturing, Wolfspeed is expanding its production capacity in the United States. Additionally, plans are underway to launch a new, automated materials factory in Siler City, North Carolina later this year, dedicated to producing 200mm silicon carbide wafers. This expansion is expected to significantly increase Wolfspeed’s current materials production capacity, aligning with the company’s commitment to driving innovation in the semiconductor power sector.
