A Silicon Carbide Company Could Be a Major Player in the Energy and Sustainability Sectors

Silicon carbide (SiC) is an inert semiconductor with wide band-gap properties. First discovered during the late 19th century as an abrasive, SiC has also since been utilized to manufacture long-lasting ceramic components like brake pads and clutches for automobiles.

SiC manufacturers like Wolfspeed have attracted investment due to their emphasis on green energy applications. Partnering with career programs like Real Life Rosies and VET STEP to recruit women and military veterans into manufacturing is helping draw investment dollars their way.

On Semiconductors

Technology has revolutionized many industries. It enables faster and stronger connections, opening up opportunities for businesses. But technology does not come without its drawbacks: for instance, semiconductor shortages have hit automotive manufacturers hard; experts predict they may last through 2021, leading to decreased production output and sales figures for carmakers.

The semiconductor market is an expansive sector, and companies that produce chips serve as indicators of its overall health. Even amid supply chain issues related to pandemic, companies like Onsemi continue to see steady revenue and profit growth while investing heavily in research and development activities so they stay ahead of competition.

On Semiconductors offers innovative power and sensor solutions for industrial, compute, automotive and mobile devices. The company manufactures analog, discrete and module semiconductor products. Their power management ICs feature power switching/conversion functions, signal conditioning/circuit protection features, signal amplification/voltage regulation capabilities. In addition, On Semiconductors designs and develops analog mixed signal and power management sensor interface chips targeted towards automotive/industry/computing markets.

Silicon carbide (commonly referred to as carborundum) is an inorganic chemical compound composed of silicon and carbon that has many uses as an abrasive. Additionally, its applications range from ceramic plates in bulletproof vests to bulletproof vest abrasion plates. Silicon carbide can either be produced as powder or large single crystals that can then be cut into gems called moissanite.

Silicon carbide has recently gained widespread use as an ideal replacement for tungsten carbide in high-temperature applications like ceramic furnaces and brakes, due to its excellent temperature resistance properties. Silicon carbide offers exceptional thermal expansion tolerance as well as corrosion protection at temperatures as high as 1800 degC – much higher than its melting point!

onsemi’s expansion of their Bucheon facility underscores their dedication to customer reliability and supply assurance. Their vertically integrated supply chain enables them to consistently supply silicon carbide that’s crucial for automotive electronics performance; especially important when used in power conversion devices for electric vehicles where any variation in parasitic losses could dramatically diminish vehicle range and efficiency.

Wolfspeed

As the world shifts towards cleaner energy solutions and more energy-efficient electronics, companies like Wolfspeed could reap significant advantages. Wolfspeed (formerly Cree) is a leader in wide bandgap semiconductor technology specializing in silicon carbide (SiC) and gallium nitride (GaN), serving power and radio-frequency (RF) devices in various industries.

Wolfspeed sees one of its major growth opportunities in the growing demand for electric vehicles (EVs). These vehicles use SiC chips that offer greater efficiency and range than regular semiconductors; Wolfspeed produces components for these EVs to enable faster charging times and greater power densities; this could prove invaluable given the rapid expansion of adoption expected over the coming decade.

The company has made impressive gains in the EV market and gained acceptance by automakers. Unfortunately, however, operational difficulties have caused frustration for investors who expected more consistent revenue growth from them. Their new Mohawk Valley Fab in New York state has experienced delays, raising doubts as to its ability to meet customer demands.

Although the company has revised down its revenue targets and adjusted goals accordingly, they still appear to have some momentum in both EV and 5G markets which may provide enough of a lift once production catches up to demand.

Investors will want to monitor earnings reports as the company transitions to producing advanced silicon carbide chips. If it can demonstrate consistent profitability and growth, investing may prove worthwhile for long-term holders; otherwise they should hold off and look elsewhere for opportunities. Until then, it would likely benefit them to focus their energies on core operations to meet growth objectives – just be sure that before making your final investment decision! As always, be sure to do your homework.

CREE

Wolfspeed, formerly known as Cree, specializes in using silicon carbide to produce semiconductor wafers for power electronic devices. Their new manufacturing campus in Chatham County will become one of the largest such operations worldwide and will create 1,800 new jobs. Their products can be found in various applications, from electric vehicles and power grid-connected electronics to autonomous driving applications. Jed Dorsheimer, global head of energy and sustainability for investment firm William Blair, has followed CREE closely since its transformation in October 2021 when they abandoned their old name and LED light division to focus on developing cutting-edge silicon carbide (SiC) and gallium nitride (GaN) wide bandgap semiconductor technology for use in electric vehicle drivetrains and industrial applications. Durham-based CREE now stands as a pioneering company that develops high-voltage power device technologies used in electric vehicle drivetrains as well as industrial applications – making CREE an innovator among high-voltage power device technology companies worldwide.

In May 2019, the company unveiled a $1 billion investment to create an automated 200mm SiC fabrication facility and materials mega factory on its U.S. campus headquarters in Durham, NC. This project will result in an unprecedented 30-fold increase in SiC wafer and material production capacity and thus allow it to keep pace with rapidly advancing technology in automotive, communications infrastructure and industrial markets.

Silicon Carbide Semiconductor Market Is Driven By Government Initiatives And Collaborations The silicon carbide semiconductor market has tremendous growth potential; furthermore it is also driven by government initiatives promoting carbon neutrality and sustainable energy solutions, leading to adoption of Silicon Carbide Semiconductors-based power devices in renewable energy projects, smart grid systems and industrial automation applications as well as by collaborations between semiconductor firms and government agencies for research & Development of these advanced devices.

COVID-19’s pandemic caused delays in investments and project deployments, thus impacting silicon carbide semiconductor demand. Now that economic activities have returned, companies have started ramping up production to meet pent-up demand while also improving supply chain operations to restore operations – this should result in an increase in silicon carbide semiconductor sales by 2024.

Cree was established over lunch at a restaurant near NC State by its original founders who maxed out their credit cards in order to hire Edmond Lowe as their first employee. Since red and green LED lights were already available at that time, their solution was gallium nitride on silicon carbide which enabled blue LED production – this innovation revolutionized the LED industry!

ROHM

Rohm’s specialty molding compounds can be found in applications as varied as high-performance automotive components. Recently, its Wallingford plant was expanded in response to increased demand while improving energy-efficient and environmentally sustainable production methods, thus helping Rohm reduce their carbon footprint and earn international sustainability certification.

ROHM designs and manufactures semiconductors and integrated circuits for use in consumer electronics applications such as mobile, computer, automotive, consumer audio/video and consumer appliances. ROHM has developed products such as EEPROMs, clock generators, reset ICs, motor drivers, power management devices, LED/LCD drivers, sensor ICs and operational amplifiers; as well as offering tailored engineering and technology services to provide tailored solutions to its customers.

SiC is an efficient semiconductor material with higher energy density than silicon and the ability to withstand higher temperatures, making it the ideal material choice for power semiconductors commonly found in electric vehicles, power tools and industrial equipment.

Rohm’s SiC MOSFET bare chips have been integrated into the inverters of three models of Geely Holding Group’s ZEEKR EV from China – one of the top-10 global automakers – as part of their traction inverters, as well as having supply agreements in Europe with Vitesco and Semikron for electric car power devices.

SiCrystal, a production subsidiary of STMicroelectronics (NYSE: STM), and STMicroelectronics have signed an exclusive, multi-year supply contract to meet growing demand for SiC devices, with SiCrystal providing advanced 150 mm silicon carbide wafers from SiCrystal directly to STMicroelectronics as part of this arrangement. This will increase both companies’ market shares for advanced silicon carbide technology.

ROHM offers high-quality SiC power components with short delivery times through its advanced manufacturing facilities in Worms and Wesseling, Germany. Their products aim to reduce carbon emissions while offering energy-efficient solutions for various electronic applications. Their team of engineers complement this advanced technology while ROHM also offers advanced characterization testing services to its customers.