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Cree And ON Semi Sign $85m SiC Wafer Deal

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Agreement to boost commercial expansion of SiC in automotive and industrial applications

Cree and ON Semiconductor have announced the execution of a multi-year agreement where Cree will produce and supply its Wolfspeed SiC wafers to ON Semiconductor.

The agreement, valued at more than $85 million, provides for the supply of Cree's advanced 150mm SiC (SiC) bare and epitaxial wafers to ON Semiconductor for use in high-growth markets, such as electric vehicle and industrial applications.

“ON Semiconductor continues to be a leader in driving the development of energy efficient innovations and devices,” said ON Semiconductor VP and chief procurement officer Jeffrey Wincel. “Partnering with Cree is essential in maintaining a world-class supply base. This agreement supports our commitment to growing automotive and industrial applications and ensuring the availability of industry-leading SiC that helps engineers solve their unique design challenges.”

“We are committed to leading the global semiconductor market's transition from silicon to SiC solutions and are pleased to support ON Semiconductor as we work to accelerate this market,” said Cree CEO Gregg Lowe. “This is the fourth major long-term agreement for SiC materials that we have announced in the past year and a half. We will continue to drive SiC adoption and availability through ongoing wafer supply agreements, such as this, and our recently announced major capacity expansion.”

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