Welcome to Moov Technology's Semiconductor Industry Investment Roundup. This is #005 of a bi-weekly series that will cover highlights from recent investment news.
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- Chipmaker NXP is considering? Austin for a $2.6 billion expansion of its Fab, adding an additional 800 jobs to the city of Austin paying an average annual salary of more than $100,000 if the funds are approved. NXP is currently requesting Chapter 313 exemptions. Essentially, the company would get a tax break, and Austin ISD would get to keep $67 million out of recapture. That means the money would stay in the district, rather than get pulled by the state to fund other districts. Representatives for NXP on Tuesday night said in order to get federal grants from the impending CHIPS for America Act, they have to get local support. Read More: https://www.kvue.com/article/money/austin-isd-tax-break-nxp/269-6f6995d2-ed67-4101-8883-fb75b8fd31b7
- CREE has acquired assets of Infineon Technologies Radio Frequency (RF) Power Business for approximately € 345 million. The transaction expands the Cree Wolfspeed business unit’s wireless market opportunity. Infineon continues to drive key growth areas such as electro-mobility, autonomous driving, renewables, and technologies for a connected world. Read More: https://www.businesswire.com/news/home/20180306005988/en/Cree-Acquires-Infineon-RF-Power-Business
- The U.S. Department of Defense announced a $117 million contract awarded to semiconductor manufacturer GlobalFoundries to support the domestic production of microelectronics. GlobalFoundries will transfer a 45-nanometer silicon-on-insulator (SOI) semiconductor manufacturing process to its Fab 8 facility in Malta, New York, under a Defense Production Act Title III agreement. This agreement will ensure access to 45nm SOI semiconductors critical to DoD strategic systems. Read More: https://www.thomasnet.com/insights/dod-announces-117-million-contract-to-boost-domestic-manufacturing-of-microelectronics
- Intel expects to open a new factory "every year or two" in its $100 billion plan to turn Licking County, Ohio into one of the world's biggest semiconductor operations. The project's full buildout is dependent on Congress enacting the $52 billion aid package.? Intel has committed to investing $20 billion to build two factories. And The company has said it will hire 3,000 workers earning an average of $135,000 per year. Read More: https://www.dispatch.com/story/business/2022/05/12/intels-ceo-lays-out-100-billion-vision-licking-county/9745740002/
- Salience Labs raises $11.5 Million in seed funding to develop ultra-high-speed chips using photonics for AI applications. The speed of AI computation doubles every 3.4 months, outpacing what standard semiconductor technologies offer. Salience Lab's goal is to commercialize an ultra-high-speed multi-chip. Read More: https://www.bakersfield.com/ap/news/salience-labs-raises-11-5-million-seed-to-develop-ultra-high-speed-chips-using-photonics/article_cda2f3ca-e39a-530e-856b-40d264ddef78.html
- Germany’s government wants to recruit chip makers with a 14 billion euro ($14.71 billion) incentive package. In March, U.S. chipmaker Intel Corp announced it had picked the German town of Magdeburg as the site for a huge new 17 billion euro chipmaking complex. CEO Pat Gelsinger had previously stated that the company would be willing to pour up to €80 billion ($84.6 billion) into new semiconductor manufacturing plants across Europe as part of Intel’s intentions to become one of the largest foundry operators in the world. In February, the European Commission unveiled its European Chips Act, which proposes a number of initiatives to boost semiconductor research and development within the EU and build new production capacities. It starts with an initial investment of €11 billion ($11.6 billion), which is expected to rise to more than €43 billion ($45 billion) of public and private investments by 2030. Read More: https://www.theregister.com/2022/05/06/germany_chipmaker_subsidies/
- Chinese semiconductor maker National Silicon Industry Group via Finnish subsidiary Okmetic will invest €400M in a new fab in Vantaa, Finland. .? Okmetic said the investment would more than double its production capacity and create over 500 jobs, with construction expected to begin by early 2023 and production to begin in 2025. Okmetic has been part of the NSIG since 2016 and in 2021 its net sales amounted to 128 million euros. Read More: https://www.reuters.com/technology/chinese-nsigs-finnish-unit-build-422-mln-silicon-wafer-plant-2022-05-10/
- Infineon more than doubles profit as semiconductor shortages persist Infineon joined the ranks of chipmakers that are benefiting from the industry-wide global semiconductor shortages, more than doubling profits in a sector where lead times are severely protracted. Formerly Siemens Semiconductor, the German-based company reported revenue of €3.298 billion ($3.48 billion). The semiconductor industry grew more than 26 percent in 2021 to $595 billion and 2022 looks to be a prosperous 12 months. Read More: https://www.theregister.com/2022/05/09/infineon/
- Karnataka has signed an MoU with Israel-based ISMC Analog Fab Private Limited to build a 65nm analog semiconductor fabrication plant in Karnataka. The project will invest ?22,900 crore ($3 Billion) and generate more than 1,500 direct and 10,000 indirect employment opportunities and an ancillary semiconductor ecosystem. this will be one of India’s first and largest semiconductor fabrication units under the Central Government’s Indian Semiconductor Mission upon project approval by the Government of India. Read More: https://thefederal.com/states/south/karnataka/ismc-to-set-up-rs-22900-cr-worth-semiconductor-fab-plant-in-karnataka/
- Japan-based gas and engineering firm Air Water Inc. has expanded its operations in Taiwan following a USD $2m investment into Hong-Kuang Hi-Tech Co., Ltd (HK), a semiconductor-related gas dealer headquartered in the country. HK sells industrial gases such as liquefied carbon dioxide, nitrous oxide, and fluorine-containing gases in Taiwan. The company aims to strengthen its gas supply business with the construction of a new gas refining plant in the country by 2025. Read More: https://www.gasworld.com/air-water-invests-in-taiwan-semiconductor-gas-industry/2023116.article
- SUSTIO broke ground on the 18-acre site at Batu Kawan Industrial Park investing more than MYR 600 million (EUR 129.7 million).? This new factory will be Simmtech's first manufacturing facility in Southeast Asia and the group’s eighth factory along with its other operations in Korea, China, and Japan. SUSTIO’s factory in Penang will increase Simmtech's total capacity of substrate and PCB by 20%, which the company says will immediately contribute to improving the semiconductor industry supply constraint. Read More: https://evertiq.com/news/51819
