Engineering 101

Infineon Re-Ramps Production In Texas

Infineon has announced that it is continues ramping up its manufacturing facility in Austin, Texas. Infrastructure had been recovered within one week after the forced shutdown on 15th February 2021. Tools are operational, production has been resumed and will ramp up over time to pre-outage levels. The shutdown was required after a severe winter storm and its resulting long-lasting regional power outage.

“We are pleased that the fab in Austin is up and running after the required shutdown,” said Jochen Hanebeck, COO of Infineon. “Based on our latest assessments, the impact will limit our ability to fully supply our customers’ needs. We continue to provide updates to affected customers. For most product categories from Austin, we expect to reach pre-shutdown output levels in June 2021. Due to the tight market conditions and resulting fully loaded facility, the recovery of lost production volume will not be possible. Our focus remains on delivering products of the highest quality and reliability.”

The Austin fab manufactures and tests products used in a wide variety of applications. The major impact on Infineon’s revenue related to this incident is expected in the third quarter of its 2021 fiscal year, in the range of a high double-digit-million euro amount.

Given the general business situation and the strong global demand for microelectronics, Infineon anticipates no negative impact on overall revenue expectation for the full fiscal year. Infineon will provide an update to the situation in Austin as part of the quarterly communication on 4th May 2021.

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