ST expands SiC agreement with Wolfspeed
28 July 2021
Power Electronics / Power Management
Cree’s Wolfspeed business and STMicroelectronics have expanded an existing multi-year, long-term silicon carbide (SiC) wafer supply agreement. The amended agreement, which calls for Cree to supply ST with 150 mm bare and epitaxial wafers over the next several years, is now worth more than $800 million.
This latest expansion will complement the other external capacity ST has secured and the internal capacity it is ramping up. The agreement will help meet the high volumes required by its product manufacturing operations in the next years, with a large number of automotive and industrial customer programmes in high volumes or ramping up.
The adoption of SiC-based power solutions is rapidly growing across the automotive market as the industry moves from internal combustion engines to electric vehicles, enabling greater system efficiencies that result in electric cars with longer range and faster charging, while reducing cost, lowering weight and conserving space.
In the industrial market, 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.
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