Infineon Technologies, a global major in semiconductor solutions, and Stellantis have signed a non-binding Memorandum of Understanding as a first step towards a potential multi-year supply cooperation for silicon carbide (SiC) semiconductors.

Infineon would reserve manufacturing capacity and supply CoolSiC ‘bare die’ chips in the second half of the decade to the direct Tier 1 suppliers of Stellantis. The potential sourcing volume and capacity reservation have a value of significantly more than 1 billion euros (Rs 8,369 crore).

“We firmly believe in electromobility and are excited to develop partnerships with leading automotive companies like Stellantis that make it a part of people’s everyday life,” said Peter Schiefer, Division President Automotive of Infineon. “Compared to traditional power technologies, silicon carbide increases the range, efficiency and performance of electric vehicles. With our leading CoolSiC™ technology and continuous investments in our manufacturing capacities, we are well positioned to meet the growing demand for power electronics in electromobility.”

Infineon and Stellantis are in talks about delivering the CoolSiC Gen2p 1200 V and CoolSiC Gen2p 750 V chips for electric vehicles under Stellantis brands. The top-notch performance, reliability, and quality of CoolSiC technology would allow Stellantis to build vehicles with longer ranges and lower consumption for the best user experience – and support the company in its efforts to standardize, simplify and modernise platforms.

Infineon has a market-leading role as a high-quality and high-volume supplier to the automotive industry. Infineon is preparing for the accelerated demand of the industry with significant investments. In 2024, for example, Infineon’s new fab for SiC technologies will start manufacturing in Kulim, Malaysia. It will complement existing manufacturing capacities in Villach, Austria, following Infineon’s multi-site strategy.

Image: Infineon Technologies