Nexperia’s $200 Million Investment in Hamburg: Expanding R&D and Production Capacities for Future Technologies
Nexperia plans to invest 200 million USD in Hamburg to increase research and development (R&D) and production capabilities for upcoming technologies.
Nexperia, a company that makes semiconductors, has revealed a plan to spend $200 million to develop new types of semiconductors called wide bandgap semiconductors, like silicon carbide and gallium nitride. They will also be expanding their production facilities in Hamburg to increase capacity for silicon diodes and transistors. This announcement was made in partnership with Dr. Melanie Leonhard, Hamburg's Minister for Economic Affairs, to celebrate the 100-year anniversary of the production site.
In order to address the increasing need for efficient power semiconductors in the long term, Germany will begin developing and producing all three technologies (SiC, GaN, and Si) by June 2024. This initiative by Nexperia will support important advancements in electrification and digitalization. SiC and GaN semiconductors are crucial for power-intensive applications like data centers, enabling them to operate with high efficiency. They are also essential components for renewable energy applications and electric vehicles. These Wide Bandgap (WBG) technologies have significant potential and are becoming increasingly vital for meeting decarbonization targets.
Achim Kempe, COO and managing director at Nexperia Germany, states 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 factory will now produce a full range of WBG semiconductors in addition to small signal diodes and transistors. The company 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 demand for energy 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 goal is to establish modern and cost-effective 200 mm production lines for SiC MOSFETs and GaN HEMTs at the Hamburg factory within the next two years. This investment will also focus on automating the existing infrastructure at the Hamburg site and increasing silicon production capacity through the transition to 200 mm wafers. In addition, new R&D laboratories are being constructed to ensure a smooth transition from research to production in the future, following the expansion of clean room areas.
The semiconductor supplier, Nexperia, believes that their investments in advancing technology will not only stimulate local economic growth but also contribute to job security and creation, as well as enhance the European Union's semiconductor independence. By collaborating with universities and research institutes, Nexperia is able to benefit from shared expertise and promote high-quality employee training. Nexperia heavily relies on a strong research and development network in Hamburg and across Europe. Partnerships and collaborations, such as the one with the nanoelectronics research center imec in the field of GaN technology, are essential for driving innovation and maintaining technological excellence in Nexperia's products.
The new investment will allow Nexperia to bring WBG chip design and production to Hamburg. Even though SiC and GaN are not new areas for Nexperia, they have been part of their portfolio since 2019 and expanded in 2023 to include SiC diodes and SiC MOSFETs in collaboration with Mitsubishi Electric. Nexperia is one of the few suppliers that offer a wide range of semiconductor technologies, such as Si, SiC, and GaN in both e-mode and d-mode. Stefan Tilger, CFO and managing director at Nexperia Germany, explains that this provides customers with a convenient one-stop shop for all their semiconductor needs.
The recent investment marks a significant milestone in the long history of Nexperia's production facility in Hamburg-Lokstedt, which has been operating since the establishment of Valvo Radioröhrenfabrik in 1924. Over the years, the site has evolved and now plays a crucial role in meeting about a quarter of the global demand for small signal diodes and transistors. Since becoming independent from NXP in 2017, Nexperia has made substantial investments in the Hamburg site, expanding the workforce from 950 to approximately 1,600 and upgrading the technological infrastructure to modern standards. These ongoing investments demonstrate the company's dedication to staying competitive in the industry and delivering innovative solutions to customers around the world.
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