EE Times Europe – Infineon to invest €5 billion in 300mm factory in Dresden

Infineon Technologies plans to expand its manufacturing capacity by 300mm to meet growing demand for analog, mixed-signal and power semiconductors. The chipmaker has announced that it will invest around 5 billion euros, the biggest investment in the company’s history, in a new factory at its manufacturing site in Dresden, Germany.

“We want to use the additional capacity to meet growing customer demand in the second half of the decade and to strengthen our position as the world leader in power systems,” Infineon CEO Jochen Hanebeck said in the comments. results for the 2022 financial year. call.

Construction of the new plant is expected to begin in the fall of 2023, with production beginning in the fall of 2026 and gradually increasing based on market developments. When operating at full capacity, Infineon expects to be able to generate “an annual income equal to the level of the investment”.

Up to 1,000 jobs will be created over time, Infineon said.

Smart Energy Factory

Infineon aims to respond to and capitalize on the megatrends of decarbonization and digitalization as they drive a structural increase in demand for semiconductors.

“The combination of power semiconductors and analog/mixed-signal components makes particularly energy-efficient and intelligent system solutions possible,” said Hanebeck. “Power MOSFET transistors combine with chips based on analog/mixed-signal technology to enable, for example, highly efficient power supplies for processors. These are particularly necessary for cloud computing and artificial intelligence training systems. Power semiconductors combined with analog/mixed-signal components also play an important role in new vehicle architectures. »

Hanebeck added: “The new ‘Smart Power Fab’ can make a significant contribution to driving green and digital transformation in Europe and beyond.”

Infineon plans to expand its 300mm manufacturing capacity in Dresden, Germany (Image source: Infineon)

European value chains

Europe’s share of global production capacity has fallen from 24% in 2000 to 8% in 2021, according to consultancy Kearney.

The EU flea law aims to reverse the trend and double Europe’s share of global semiconductor production to 20% by 2030. It will mobilize €43 billion in public and private investment and define measures to prevent, prepare, anticipate and react quickly to any future supply disruption, together with Member States and international partners.

“The new plant would be a significant contribution by Infineon to the European Commission’s goal of anchoring a 20% share of global semiconductor production within the EU by 2030,” Hanebeck said. . “By providing semiconductor solutions for industrial and automotive applications, the fab would help secure future value chains in key European industries.”

Infineon said construction of the new plant is subject to adequate public funding. It counts on adequate funding through the European Chips Act.

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