DURHAM – As Wolfspeed continues to plan for its $5 billion investment in Chatham County, the Durham-headquartered semiconductor firm has landed an iconic client: Jaguar Land Rover.
The companies announced a partnership on Monday under which Jaguar Land Rover will shore up its supply chain which the firm noted could be integral for the electrification of new and future models of the automaker’s vehicles.
For now, the semiconductors will be fabricated in Wolfspeed’s facility in New York. But the first vehicles with Wolfspeed’s silicon carbide semiconductors will be available commercially in 2024, a statement noted.
The two firms had prior relations and prior partnerships. Jaguar Land Rover also partnered with NVIDIA earlier this year.
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“Wolfspeed is proud to partner with Jaguar Land Rover, supporting its bold commitment to electrify its iconic brands by using Silicon Carbide’s superior performance, efficiency and range,” said Gregg Lowe, CEO of Wolfspeed, in a statement. “The energy efficiency of Silicon Carbide will play an essential role as Jaguar Land Rover pursues its own zero carbon goals, and as the world transitions to an all-electric transportation future.”
But Wolfspeed is also in the process of expansion, driven in large part by increasing demand for silicon carbide semiconductors within the automotive industry, in particular, in electric vehicles.
Long-term outlook
Lowe and other company executives relayed strong demand for Wolfspeed’s products within the automotive sector earlier this year and again in the company’s most recent earnings call.
Despite announcing the $5 billion project in Chatham County last month, the company’s earnings report were viewed as lackluster by Wall Street, and the firm’s stock price dropped by nearly 20% in the days following the report.
Lowe cited supply chain challenges as a headwind the company is facing, though in a statement continued to express optimism about the company’s position in the market and in the long-term viability of the company’ growth.
Wall Street punishes Wolfspeed after earnings news – stock plunges nearly 20%
