Overview of SiC Manufacturing Capacity Growth

Demand is no issue for silicon carbide (SiC) chip makers. The downstream dependence on these kinds of chips means this segment is now in a concrete position to increase output. Although, it’s likely the heavy hitters in this space—STMicroelectronics, Onsemi, Wolfspeed, and ROHM, and the like—have their attention closely pinned on emerging clean energy markets. 

In recent years, we’ve learned that sustainable industries are heavily impacted by global events. Alongside this there are various reasons why companies have taken a shine to SiC over silicon—the primary factor is that the material itself is more resilient to complex computing environments. 

The electric vehicle (EV) sector is one of these examples and, as Chinese trade relations only exacerbate the need to localize production and sourcing, there is also an emphasis on building products with longer lifespans. In terms of renewable energy, countries are continually evolving in order to reduce their dependence on global energy trading. 

As a result, we’re seeing technologies evolve exponentially in these areas, bolstering efforts to deliver more power density and build solutions that can withstand the tests of different environments.

SiC Manufacturing is Expanding

SiC manufacturers will be pivotal in driving a number of industries forward, allowing them to adopt more advanced technologies to reduce cost and increase efficiency across their operations, or within their products. Combining analysis from TrendForce and Future Market Insights (FMI) helps gauge the roadmap of value growth in the sector. 

Market value: 

• 2022: US$2.8 billion (FMI) 
• 2026: US$5.33 billion (TrendForce-stated prediction
• 2032: US$5.8 billion (FMI-stated prediction) 

Overall, FMI states a compound annual growth rate (CAGR) of 7.5% from 2022 to 2032.

Companies Expanding SiC Fab Capacity

STMicroelectronics

One of the leading SiC makers is pumping significant funds into further development capacity. Post a €7.5 million investment with GlobalFoundries, STMicroelectronics announced a further €5 million assigned to SiC chip fab in Italy, which will go towards production of an entirely new ‘super semiconductor wafer’. This will be a joint venture with Sanan Optoelectronics (announced in June 2024) and will see the development of an eight-inch SiC chip to support more intelligent technologies.

Onsemi 

With a major buy-in from the automotive sector, Onsemi will power new EVs, and has signed agreements with Volkswagen to build a next-generation traction inverter for its cars. The development of this component will power VW’s scalable platform as the car maker follows a similar trajectory of other brands. This shows how automotive companies benefit from SiC innovation, combining powerful, compact chips with customisable architecture.

Wolfspeed

The company reached a critical milestone in March 2024 as it completed the world’s largest and most advanced SiC fabrication facility. Infineon is cited as one of the core customers of its 150mm (six-inch) SiC wafers, which will be used to further innovate in the energy storage and e-mobility sectors. Wolfspeed already signed a 10-year supply agreement with the Tokyo-based semiconductor manufacturer Renesas Electronics Corporation just eight months prior. 

ROHM Group 

Supporting the renewable energy sector, ROHM Group announced in July 2023 the signing of a basic agreement with Solar Frontier K.K., which manufactures photovoltaic (PV) panels. The aforementioned STMicroelectronics has also signed an agreement with the ROHM subsidiary SiCrystal to extend its supply of 150mm SiC substrate wafers. This agreement comes with the intention from both parties to ramp up delivery of advanced SiC chips.

Common Problems with Silicon

As more energy throughput is required, silicon simply cannot withstand the voltage required to achieve this—or the heat produced as a result. For every 200V to pass through a silicon Schottky barrier diode (SBD), SiC SBDs can manage 600V.

Other comparisons include: 

High Temperature Operation

• Silicon: Devices typically operate efficiently at temperatures up to 150°C with performance degrading significantly the hotter it gets. 
• SiC: Devices have much higher stability in high-temperature scenarios with less of a performance reduction—operable at 600°C. 

Breakdown Voltage

• Silicon: Lower breakdown voltage, which limits its use in high-voltage applications. 
• SiC: Higher breakdown voltage (approximately 10x that of Silicon),which is great for expanding energy throughput.

Size and Weight

Generally, SiC is known for its superior energy density, which trumps that of Silicon, which aids power conversion efficiency, and is enabled by its higher thermal conductivity. The all-round performance benefits of SiC outweigh Silicon’s use in high-demand applications. 

Sustainable Industries Demanding SiC Chips

Two trends crop up as we talk about a growing SiC footprint. This is likely a result of global efforts to expand sustainable solutions—clean energy integration hinges on more efficient and robust semiconductors. SiC is core to most infrastructure projects as providers look to bring their assets into their own digital ecosystems. 

Automotive: Efficiency is crucial for car manufacturers as the majority of them shift their attention to electrification; building EVs will longer range from smaller batteries, and faster charging speeds. Reducing the energy lost through switching as well as system conduction losses is highly beneficial in EVs, which have limited range. 

These vehicles also incorporate more and more advanced systems, powered by the onboard computer, which draw power from the battery. Eliminating any unnecessary losses induced by advanced driver assistance systems (ADAS) aids companies in squeezing out as much range or power as possible from their batteries and platforms. 

Renewable Energy: Referring back to the element of higher efficiency, multiple energy infrastructure assets can benefit from the use of SiC chips to reduce losses and make machines more resilient for temperature changes. Systems like battery-energy storage (BESS) can operate more efficiently as a result of SiC and its ability to withstand higher temperatures and limit energy conduction. 

As seen in the past, battery storage facilities are susceptible to high heat exposure and, in order to expand this to support sustainable energy solutions, the components within must be able to withstand the harshest conditions—namely temperatures ranging up to 150°C. There is also an element of space as companies have limited scope to expand their power storage or output capacity with the space they have. Solutions that increase power density will inevitably help operators process more energy with the same infrastructure. 

This also reigns true in the EV sector as companies look to reduce the sizes of their battery packs while increasing their capacity. 

Advances in SiC Function

Previously, companies opted for pure silicon parts, which are now being overtaken by SiC. This new chip format brings with it greater potential to increase the power of in-body architecture and achieve greater energy and heat efficiency. 

SiC chips have a higher critical breakdown voltage than silicon alone. For modern applications, this affords the ability to create more compact chips while reducing the risk of faults. Component manufacturers can also leverage its high doping concentration to introduce supporting materials for specific applications. 

In high-voltage systems, as well as industries that require little-to-no downtime of assets, SiC is far superior to the previously used silicon. These tend to be leveraged in developing clean energy industries, such as EVs and renewables, along with defense, aerospace, and telecommunications—all industries where outages could be detrimental from a safety perspective. There are many other industries that benefit from the shift to SiC chips, and many of them integrate new technologies—including artificial intelligence (AI) and machine learning (ML).