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Cree will set up a silicon carbide device manufacturing plant in New York

Cree announced plans to build a new automotive-grade 200mm power and RF wafer fabrication facility in Massey, New York, while its expansion of the large material plant at its headquarters in Durham will also be complemented.

According to Cree, the new facility is part of a previously announced project to increase the capacity of its Wolfspeed silicon carbide and GaN businesses. It will be a larger, more automated plant with higher output capacity. Through a strategic partnership with the governor of New York State, Andrew M Cuomo, and other state and local agencies and entities, the decision to build a plant in New York will allow Cree to continue to expand capacity and save significant net costs in the future.

“Silicon carbide is one of the most critical technologies of our time and is at the heart of innovation in many of today's most groundbreaking and revolutionary markets, including the transition from internal combustion engines to electric vehicles and the introduction of ultra-fast cars. Fast 5G Network, Cree CEO Gregg Lowe said. “This state-of-the-art wafer fabrication facility, certified by the automotive industry, is based on our 30 years of commercialization of breakthrough technologies that help customers deliver next-generation applications. We look forward to North The Innovation Centers in Carolina and New York are linked to accelerate the adoption of silicon carbide."

“We are delighted to be part of Cree's efforts to move from silicon to silicon carbide, a partnership that will be a key part of our efforts to strengthen the research and scientific assets that New York State will use to attract industry and industry.” Empire State Building Development Acting Commissioner and President and CEO Eric J. Gutler said. “The Mohawk Valley offers a unique combination of valuable high-tech and scientific assets, an important step in developing our advanced manufacturing infrastructure and investing in our state economy.”

As part of the partnership, Cree will invest approximately $1 billion in the New York facility for construction, equipment and other related costs. New York State will provide $500 million in grants from the Empire State Building development, and Cree will be eligible for additional local awards and mitigations as well as equipment and tools from the State University of New York. As a result, the company said it expects its previously announced $1 billion capacity expansion by 2024 to achieve a net capital savings of approximately $280 million.

In addition, it will provide a 25% increase in output compared to previously planned facilities. By 2022, the new plant will be 480,000 square feet in size, and about a quarter of it will be clean room space, providing future expansion capabilities as needed. These expansions will further enhance Cree's competitive position in the market and accelerate the adoption of silicon carbide in a range of high-growth industries.