In a recent post on X, IT Minister Ashwini Vaishnaw shared that the Indian government has engaged in discussions with Infineon, Germany’s leading chip manufacturer, regarding the development of power semiconductors.
As India expands its power generation, transmission, and storage capabilities, power semiconductors are becoming essential in decarbonizing industries such as automotive, industrial, and data centers. These components are seen as vital to the supply chain.
According to Moneycontrol, Infineon, which operates in the semiconductor sector, specializes in creating chips for the automotive and industrial power markets. The company also focuses on producing chips for vehicles, which are instrumental in linking sensors to computing systems within automobiles.
Power semiconductor devices, typically used as switches in power electronics, play a crucial role in the functioning of various systems. Notably, automotive applications account for more than 50% of Infineon’s revenue. The company has stated its intention to maintain a robust presence in the power semiconductor space.
Silicon Carbide (SiC), a compound semiconductor made from silicon and carbide, offers advantages over traditional silicon semiconductors and is a key area of focus for Infineon.
Despite Europe’s semiconductor players facing challenges such as a pullback in electric vehicle (EV) demand due to sluggish economic growth and inadequate charging infrastructure, Infineon continues to push forward. The company reported revenues of approximately €16.3 billion for the fiscal year ending September 30, 2023, with a global workforce of 58,600 employees. Infineon also operates a research and development center in Bengaluru.
In August, the company announced plans to relocate 1,400 jobs to countries with lower labor costs and eliminate an additional 1,400 positions worldwide. Third-quarter sales dropped by 9.5% year-on-year, amounting to €3.7 billion, falling short of analysts’ expectations.
Semiconductors play a vital role in artificial intelligence, providing the hardware necessary for complex computations. As India works towards its ambitious IndiaAI mission, securing access to advanced semiconductors is becoming increasingly critical.
