Chipmaker Wolfspeed Weighs Domestic Chip Factory Worth Over $2B: Report

U.S. power chip maker Wolfspeed, Inc WOLF eyed a factory in Germany worth over €2 billion ($2.17 billion).
The German auto supplier ZF will hold a minority stake, Reuters reports citing a newspaper.
Production will likely begin in four years at the site in the small southwest German state of Saarland.
Also Read: US Chips Act Draws Investments; Wolfspeed To Build New US Factory To Tap Ballooning EV Demand
In 2022, Intel Corp INTC named Magdeburg, Germany, as the site for its new mega chip manufacturing complex.
Intel aimed to build a chip factory in the country as part of a broader plan to invest up to €80 billion ($85.15 billion) over the next decade in building capacity across Europe.
German chipmaker Infineon Technologies AG (OTC: IFNNF) IFNNY eyed several billion euros on the right takeover target as it hunted for acquisitions.
Infineon saw growth in electromobility, autonomous driving, renewable energy, data centers, and the so-called internet of things, which help connect items like appliances, factory equipment, and health monitors to the internet or other communications networks.
The quest for domestic chip production gained traction since the pandemic disrupted global supply chains worsening the semiconductor crisis.
Countries started boosting their semiconductor technology position to reduce dependence on China and other Asian countries. The governments began doling out subsidies to encourage the domestic production of semiconductor chips.
Price Action: WOLF shares traded higher by 3.23% at $82.50 on the last check Monday.
Photo Via Company

Market News and Data brought to you by Benzinga APIs

Comments

Popular Channels

Tools & Features

Partners & Contributors

About Benzinga