IQE buys RFMD's epi-wafer plant
June 11, 2012 // Peter Clarke
Wafer supplier IQE plc (Cardiff, Wales) has agreed to acquire the molecular beam epitaxy (MBE) epitaxial wafer growth manufacturing unit of RF Micro Devices Inc. (Greensboro, North Carolina).
RFMD's GaAs semiconductor products incorporate transistor layers grown on either an MBE or metal organic chemical vapor deposition (MOCVD) process. RFMD already outsources all MOCVD-based starting material, and RFMD will outsource MBE-based starting material with the completion of the transfer to IQE.
The value of assets to be transferred to IQE, including a building in Greensboro, North Carolina, is estimated to be worth $27 million. However, IQE is not paying directly for the assets but through a discount-priced exclusive wafer supply agreement. This includes the supply of $55 million in wafers minimum order in the first two years.
RFMD will continue to own and operate wafer fabs for RF components in Greensboro, and Newton Aycliffe, England.
The assets being transferred to IQE include a fully fitted clean room of over 90,000 square feet and 16 MBE tools housed in a 135,000 square foot stand-alone building in Greensboro, North Carolina. The local management and employees for the unit, consisting of 70 people, will also transfer directly to IQE.
IQE said that it intends to use unallocated capacity from the Greensboro facility to increase its supply of wafers for concentrated photovoltaic (CPV) solar cells in respect of an agreement with Solar Junction Inc. (San Jose, Calif.).
The agreement with RFMD is expected to allow IQE to expand its supply of wafers for solar to a value of $35 million annually without the need for significant capital expenditure.
"The deal secures IQE world class epi-wafer production assets and staff, together with a long term wafer supply agreement, further strengthening our leadership position in the supply of wafers to the global wireless industry," said Drew Nelson, president and CEO of IQE, in a statement.
Bob Bruggeworth, president and CEO of RFMD, said: "We believe this is a mutually beneficial transaction for both RFMD and IQE. Of note, we expect this transaction will provide RFMD with lower MBE and MOCVD pricing, higher return on invested capital (ROIC), and more predictable operating results."
Wearable cameras is next boom market for image sensors
April 17, 2015
Annual shipments of wearable cameras will surpass 30 million units by 2020 according to market research firm Tractica.
Paper memory ready to roll
Acuity Brands targets precise indoor positioning sector
Automotive chip reliability: a matter of design methods
Could Electrolyte Genome accelerate search for battery winners?
2.1A LDO+ regulator with cable drop compensation
April 16, 2015
This video explores the LT3086, a new member of our LDO+ family. It provides many functions in addition to regulation. It ...
Newswatch: ARM seeks energy harvesting edge in IoT push
GPTG agrees global distribution deal with Digi-Key
ST's Crolles strike rumbles on
- Smart Capacitive Design Tips
- Wireless MCUs and IoT
- Battery Management System Tutorial
- Deciding if Automated Test is right for your Company
InterviewInfineon: CAN FD success goes at the expense of FlexRay
The faster version of the venerable CAN bus, CAN FD is currently taking off at several carmakers. Infineon's Thomas Böhm, Head of Body / Automotive, believes this could well go at the expense of FlexRay. ...
Filter WizardCheck out the Filter Wizard Series of articles by Filter Guru Kendall Castor-Perry which provide invaluable practical Analog Design guidelines.
Linear video channel
READER OFFERRead more
This month, DecaWave is offering EETimes Europe's readers the chance to win two TREK1000 kits to evaluate its Ultra-Wideband (UWB) indoor location and communication DW1000 chip in different real-time location system topologies.
Worth €947, the kit allow designers to prove a concept within hours and have a prototype ready in days. Based on the two-way ranging scheme, the kit lets you test...MORE INFO AND LAST MONTH' WINNERS...
December 15, 2011 | Texas instruments | 222901974
Unique Ser/Des technology supports encrypted video and audio content with full duplex bi-directional control channel over a single wire interface.