SkyWater Technology has acquired Infineon Technologies' Fab 25 in Austin, Texas, aiming to bolster U.S. semiconductor manufacturing capabilities and enhance its position as a leading pure-play foundry service provider.

Target Information

SkyWater Technology, a respected partner in technology realization, has successfully acquired Infineon Technologies AG's 200 mm semiconductor fabrication facility, known as Fab 25, located in Austin, Texas. This facility is poised to significantly augment SkyWater’s pure-play foundry operations by adding approximately 400,000 wafer starts annually. It aims to enhance the company's advanced technology services (ATS) offerings and is vital for boosting domestic manufacturing capabilities for essential semiconductor technologies, including embedded processors, memory modules, mixed signal, RF, and power applications.

The acquisition will transform Fab 25 from serving as a captive integrated device manufacturer (IDM) into a pure-play, open-access foundry, thus widening the domestic foundry services available to a diverse range of SkyWater’s clientele across industrial, automotive, and defense sectors. Additionally, this strategic move reflects SkyWater's commitment to supporting national initiatives focused on reshoring semiconductor production.

Industry Overview in the United States

The semiconductor industry in the United States has been experiencing rapid growth, largely driven by increasing demand for advanced technologies such as artificial intelligence, the Internet of Things (IoT), and electric vehicles. The ongoing global semiconductor shortage has highlighted the critical need for a robust domestic s