Nexperia’s 200 Million USD Investment in Hamburg: Expanding R&D and Production Capacities for Future Technologies
Nexperia plans to spend 200 million USD in Hamburg to enhance their research and development (R&D) capabilities and increase production capacity for upcoming technologies.
Nexperia, a semiconductor manufacturer, has announced a plan to invest $200 million (approximately 184 million Euros) in developing the next generation of wide bandgap semiconductors, such as silicon carbide (SiC) and gallium nitride (GaN). They also plan to establish production infrastructure at their Hamburg site. In addition, they will be increasing the wafer fab capacity for silicon (Si) diodes and transistors. These investments were announced in collaboration with Hamburg's Minister for Economic Affairs, Dr. Melanie Leonhard, in celebration of the production site's 100-year anniversary.
In response to the increasing need for efficient power semiconductors in the long term, Germany will begin developing and producing all three technologies (SiC, GaN, and Si) in June 2024. This initiative by Nexperia supports critical technologies in electrification and digitalization. SiC and GaN semiconductors are able to power energy-intensive applications, like data centers, with high efficiency, and are essential components for renewable energy and electric vehicles. These Wide Band Gap (WBG) technologies show promising potential and are becoming more crucial in meeting decarbonization targets.
Achim Kempe, COO and managing director at Nexperia Germany, stated that this investment will enhance their position as a top supplier of energy-efficient semiconductors and allow them to use electrical energy more responsibly. The Hamburg fab will now produce a full range of WBG semiconductors in addition to being the largest factory for small signal diodes and transistors. Nexperia remains dedicated to producing high-quality, cost-effective semiconductors for both standard and power-intensive applications, while also addressing the challenge of meeting the increasing energy demand and reducing environmental impact.
In June 2024, the first production lines for high-voltage GaN D-Mode transistors and SiC diodes were launched. The next step will involve setting up modern and cost-effective 200 mm production lines for SiC MOSFETs and GaN HEMTs at the Hamburg factory within the next two years. Additionally, investments will be made to automate the existing infrastructure at the Hamburg site and increase silicon production capacity by transitioning to 200 mm wafers. Clean room areas will be expanded, and new R&D laboratories will be constructed to ensure a smooth transition from research to production in the future.
The semiconductor supplier, Nexperia, believes that their investments in technology will not only advance their own capabilities but also drive local economic growth. By working closely with universities and research institutions, Nexperia is able to leverage their expertise and promote high-quality employee training. They heavily rely on a strong research and development network in Hamburg and across Europe, forming partnerships in areas such as GaN technology to ensure ongoing innovation and excellence in their products. These collaborations are crucial for Nexperia's goal of securing and creating jobs while also boosting the European Union's semiconductor self-sufficiency.
"Our investment plan allows us to introduce WBG chip design and production to Hamburg. While SiC and GaN are not new to Nexperia, as we have included GaN FETs in our product lineup since 2019 and expanded to include SiC diodes and SiC MOSFETs in 2023 through collaboration with Mitsubishi Electric. Nexperia stands out as one of the few suppliers offering a wide range of semiconductor technologies such as Si, SiC, and GaN in both e-mode and d-mode. This enables us to provide customers with a one-stop solution for all their semiconductor needs," explains Stefan Tilger, CFO and managing director of Nexperia Germany.
The recent investment marks another significant achievement in the 100-year history of Nexperia's manufacturing facility in Hamburg-Lokstedt. The site, which dates back to the establishment of Valvo Radioröhrenfabrik in 1924, has seen continuous growth and now supplies approximately 25% of the global demand for small signal diodes and transistors. Since becoming independent from NXP in 2017, Nexperia has made significant investments in the Hamburg site, expanding the workforce from 950 to about 1,600 employees and upgrading the technological infrastructure to the latest standards. This ongoing investment highlights the company's dedication to remaining a leader in the industry and delivering innovative solutions to customers worldwide.
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