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Infineon to Build First High-Volume 300mm Gallium Nitride Semiconductor Fab

Chips2 min read

Infineon is building what it calls the world's first high-volume plant for gallium nitride (GaN) power chips on 300 mm wafers. The factory will be in Villach, Austria, with production planned to start at the end of 2027.

What happened

Chipmaker Infineon Technologies Austria is upgrading an existing clean room in Villach, in southern Austria, to make GaN power chips on large 300 mm wafers. A wafer is a thin round slice of material on which chips are made. Infineon says it is the first company in the world to bring GaN power electronics into volume production. The company already made the key technical breakthrough for GaN wafers about two years ago.

Key numbers and facts

  • Investment for series production: about 1.1 billion euros.
  • EU subsidy of up to 319 million euros under the European Chips Act.
  • The formal approval of the subsidy by Austria's economy ministry is still pending.
  • Infineon Austria employs about 5,800 people, with 2,500 in research and 4,800 at the Villach site.
  • Europe holds about 40 percent of the power electronics market, according to Infineon.

What GaN is

Gallium nitride is a 'wide-bandgap' semiconductor, like silicon carbide. This means it can switch large currents at high frequencies with low energy loss, at blocking voltages up to 1700 volts. Devices can be smaller and lighter. Examples include solar inverters, chargers, motor controls and power supplies for AI systems. Higher efficiency also cuts greenhouse gas emissions. In electric cars, this could mean lighter batteries, longer range and faster charging.

Why it matters

The plant could help GaN chips spread into many key uses, such as AI, energy infrastructure, electric mobility and robotics. Infineon also says GaN can switch faster than silicon carbide but should not cost more. Austria's government sees the project as a sign that the future of chipmaking will not be decided only in Asia or America. Infineon's Villach site is already its global centre for power electronics and new semiconductor materials.

What to watch

  • Whether Austria's economy ministry formally approves the 319 million euro EU subsidy.
  • Whether production really starts at the end of 2027 as planned.
  • How much GaN chips will cost compared with silicon carbide chips.
  • Whether the plant strengthens research and development work in Villach.

Glossary

Infineon Technologies
A German company that designs and makes computer chips for power, cars, and energy systems.

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