Infineon to invest €1.1 billion in Austria chip site

Infineon Technologies AG

27/10/2026 07:03

Oct 27 (Reuters) - German chip manufacturer Infineon IFXGn.DE is investing €1.1 billion ($1.23 billion) in an Austrian site to expand production of power semiconductors for data centres, it said on Tuesday.
The company plans to build the world's first plant at its site in Villach for the mass production of gallium nitride (GaN) semiconductors based on 300-millimetre-diametre wafers.
"This paves the way for the widespread use of gallium nitride in a wide range of key applications in fields such as artificial intelligence, energy infrastructure, electric mobility and robotics," CEO Jochen Hanebeck said in a statement.
300-millimetre wafers can hold 2.3 times as many chips as the most commonly used 200-millimetre version.
Infineon's share price, which has fallen around 40% since the middle of June, was up nearly 1% in early Frankfurt trading.
($1 = 0.8946 euros)

 (Reporting by Danny Callaghan and Hakan Ersen, Editing by Friederike Heine)
 ((Email: danny.callaghan@thomsonreuters.com))