onsemi Opens State-of-the-Art Silicon Carbide Production Facility in New Hampshire

Posted  by GoPhotonics

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onsemi, a leader in intelligent power and sensing technologies, celebrated the inauguration of its silicon carbide (SiC) facility in Hudson, New Hampshire with a ribbon-cutting ceremony. Signifying the importance of this event and the manufacturing of semiconductors in the U.S. was the attendance of multiple guests of honor led by U.S. Secretary of Commerce Gina Raimondo. Also present were U.S. Senators Jeanne Shaheen and Maggie Hassan from New Hampshire, Representative Chris Pappas from the 1st congressional district of New Hampshire, and Representative Annie Kuster from the 2nd congressional district of New Hampshire as well as other local governmental dignitaries.

The site will increase the company’s SiC boule production capacity by five times year-over-year and almost quadruple the number of its employees in Hudson by the end of 2022. The expansion gives onsemi full control of its silicon carbide manufacturing supply chain, from sourcing silicon carbide powder and graphite raw material to delivering fully packaged SiC devices. This allows onsemi to provide its customers with the assurance of supply required to meet the rapidly growing demand for SiC-based solutions. SiC is critical for enabling efficiency in electric vehicles (EVs), EV charging, and energy infrastructure and is an important contributor on the path to decarbonization. The SiC total addressable market is projected to grow from $2B in 2021 to $6.5B in 2026, at a compound annual growth rate of 33%.

“In addition to market-leading efficiency of our products, our end-to-end vertically integrated solution in a supply-constrained environment is a compelling and differentiated competitive advantage,” said Simon Keeton, executive vice president and general manager of Power Solutions Group at onsemi. “We have already expanded to a second building as we increased our substrate capacity and plan to continue ramping, allowing us to source our own cutting-edge SiC wafers for customer products.”

onsemi is the only large-scale supplier of both SiC and insulated-gate bipolar transistors (IGBT) solutions with end-to-end supply capability. During its second-quarter earnings call last week, the company announced $4B of committed SiC revenue for the next three years through long-term supply agreements with a broad base of customers. It will triple last year’s silicon carbide revenue in 2022 and exceed $1 billion in revenue in 2023, further emphasizing onsemi’s progress toward SiC leadership.

The inauguration ceremony comes only days after President Biden signed the CHIPS and Science Act into law. The Act will strengthen supply chain resiliency and help avoid disruptions for critical components affecting every economy sector.

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