Cree’s Wolfspeed business has acquired the Radio Frequency (RF) Power Business assets of German company Infineon Technologies AG for about € 345 million. The deal extends Cree’s Wolfspeed business unit’s wireless market opportunity. Infineon continues to encourage key growth sectors including renewables, electro-mobility, autonomous driving, and technologies for a connected world. The transaction closed and went into effect Tuesday, March 6.
Cree and Infineon have a long-standing history of collaboration and shared business interests. Cree says that the acquired Infineon RF Power team and their capabilities will complement the existing offerings and expertise of the Cree company Wolfspeed with additional technology, as well as design, packaging, manufacturing, and customer support.
Cree’s Wolfspeed business 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.
Under the terms of the agreement, Cree’s Wolfspeed business will acquire the primary facility in Morgan Hill, California which includes test and packaging operations for LDMOS and GaN-on-SiC;
Wolfspeed will also acquire about 260 employees in the US locations, Morgan Hill, California, and Chandler, Arizona, as well as in Sweden, Finland, China, and South Korea.
Additionally, Wolfspeed will obtain Infineon’s established customer relationships with manufacturers of wireless infrastructure equipment, including field support personnel on site. The transaction does not include the Infineon Chip Card & Security (CCS) operations in Morgan Hill that will continue to operate at the site as part of Infineon.
Through a transition service agreement, Infineon will perform virtually all business operations for about the next 90 days to ensure business continuity and a smooth transition. Infineon will also support the transaction with a long-term supply agreement with Cree’s Wolfspeed business to provide LDMOS wafers and related components from its fab in Regensburg, Germany, and supply assembly and test services from its facility in Melaka, Malaysia.