Seeking to expand its reach in the wireless market, Cree, Inc. has acquired assets of Infineon Technologies AG Radio Frequency (RF) Power Business for approximately $428 million. The transaction comprises Infineon’s RF Power operations for wireless infrastructure, complementing Cree’s Wolfspeed business in RF GaN-on-SiC technologies.
According to the Cree CEO Gregg Lowe, the transaction will enable the company’s Wolfspeed business to help expedite the development of faster 4G networks and pave the way to 5G. Wolfspeed offers transistors and MMICs (Monolithic Microwave Integrated Circuits) for wireless infrastructure radio frequency power amplifiers based on both LDMOS and Gallium Nitride on Silicon Carbide (GaN-on-SiC) technologies.
For Infineon, the deal enables the company to focus on developing products for its core markets, including electro-mobility, autonomous driving, renewables, and technologies for a connected world.
The transaction will give Cree access to Infineon’s RF Power facility in Morgan Hill (CA) which includes packaging and test operations for LDMOS and GaN-on-SiC, as well as Infineon’s customer base of wireless infrastructure equipment manufacturers. Infineon’s RF Power business currently employs 260, which include its Morgan Hill and Chandler, AZ facilities as well as in Finland, Sweden, China and South Korea.
Under the deal, Infineon will support the transaction with a long-term supply agreement for LDMOS wafers and related components out of its fab in Regensburg, Germany, and will also supply assembly and test services out of its facility in Melaka, Malaysia.
“We are looking forward to combining our strengths with Cree,” said Gerhard Wolf, Vice President and General Manager, RF Power Products at Infineon, in a statement. “With our highly skilled and dedicated team, advanced technologies and commitment to business excellence, we look forward to serving our customers seamlessly as the 5G mobile standard ramps up.”
