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Infineon plans to increase investment to cope with chip shortage

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May 31, 2022

Infineon Chief Production Officer Rutger Wijburg said in an interview with the media recently that Infineon will commission a new fab every two to three years in the future, compared to the previous four to five years.

Rutger Wijburg said that the current market situation requires accelerated investment, and Infineon may also advance several large-scale construction projects in parallel in the future.

The reason for this decision is that currently the major foundries maintain high capacity utilization and only accept orders with longer lead times. In addition, the lead time of semiconductor equipment has also been extended a lot.

“Twelve-month delivery times are now normal, and 18 months and longer are not uncommon either,” says Rutger Wijburg.

In addition, he also said that the semiconductor market environment is favorable, and many market research institutions such as McKinsey expect that the annual sales of the semiconductor industry will increase by 8% in the next ten years, of which the automotive semiconductor market will also grow significantly.

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