Infineon plans to invest more than 2 billion euros to expand the production of third-generation semiconductor plants and ship the first wafers in 2024.

Infineon announced that it will expand the production capacity of wide band gap (silicon carbide and gallium nitride) semiconductors to further consolidate and strengthen its leading position in the power semiconductor market, according to Infineon official WeChat on February 24.

Infineon will spend more than 2 billion euros to build a third plant at the Julin plant in Malaysia. When completed, the new plant will be used to produce silicon carbide and gallium nitride power semiconductors, which will generate 2 billion euros in revenue for Infineon each year.

When the new Julin plant is operating at full capacity, 900 jobs will be created. Construction of the new plant will begin in June this year and equipment installation will be carried out in the summer of 2024. Shipments of the first wafers will begin in the second half of 2024. The new investment in the Julin plant is mainly used for high value-added links such as epitaxial technology and wafer cutting.

It has been revealed that Infineon has provided silicon carbide-based semiconductor products to more than 3000 customers. Infineon plans to increase sales of silicon carbide power semiconductors to $1 billion by the mid-1920s. At the same time, the gallium nitride market is expected to surge, from $47 million in 2020 to $801 million in 2025.