SK Siltron announced on Sept. 10 that its board has agreed to acquire US-based Dupont’s silicon carbide (SiC) wafer business for $450 million in a bid to raise its profile in the global chip industry.
The transaction is expected to be wrapped up by the end of this year.
SiC wafers are used to manufacture SiC semiconductors that are known to be high in energy efficiency. The chips are used for new and renewable energy infrastructure, along with electric cars. The global chip demand has been rising as more carmakers have been jumping into the EV market, including iconic US-based Tesla. But there are only a handful of firms capable of supplying the wafers.
In particular, Dupont is one of the few that can manufacture 150mm SiC wafers. Dupont is currently supplying the wafers to major strategic semiconductor firms in the US and Europe.
According to market research firms IHS Markit and Yole, the SiC wafer market is expected to grow to $5.2 billion by 2025, up from this year’s $1.3.
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