II-VI (Nasdaq: IIVI), the leader of wide-bandgap compound semiconductors, announced on August 17 that it had completed a contract worth more than USD 100 million to supply Dongguan Tianyu Semiconductor Technology Co., Ltd. with 150 mm silicon carbide substrates. The delivery time starts from the beginning of this quarter to the end of the calendar year 2023.

Stimulated by the electrification of transportation infrastructure and industrial equipment, the market is accelerating its transition to power electronics based on third-generation or wide-bandgap semiconductor silicon carbide (SiC). Silicon carbide enables smaller and more efficient power electronics with a lower system-level total cost of ownership than state-of-the-art silicon-based devices. Dongguan Tianyu Semiconductor Technology Co., Ltd., one of the earliest and largest SiC epitaxial wafer manufacturers in China, has signed a long-term supply contract with II-VI to ensure that the capacity of 150 mm SiC substrates can meet the demand in 2023.