DNeX’s SilTerra signs US$400m agreement with ChipOne

by TMR / pic credit: silterra.com

DAGANG NeXchange Bhd, through business unit SilTerra Malaysia Sdn Bhd, has entered into a wafer supply and purchase agreement worth US$400 million with ChipOne Technology (Beijing) Co Ltd.

ChipOne Technology is a leading driver integrated circuit(IC), touch controller and fingerprint sensor fabless integrated circuit design house based in Beijing, China.

Under the multi-year agreement, SilTerra will supply wafers which are used in the production of semiconductor devices to ChipOne.

“Both companies will work closely on product development and mass production based on SilTerra’s state-of-the-art Bipolar-CMOS-DMOS (BCD) technology.

“CMOS refers to Complementary Metal Oxide Semiconductor while DMOS refers to Double Diffused Metal Oxide Semiconductor,” DNeX said in a statement today.

BCD technology is one of the key building blocks of SilTerra’s Smart Power Technology platform developed to deliver optimum energy efficient products based on proven mature process technology, intellectual property and design kits.

“This shows the commitment of the new shareholders of SilTerra in transforming the company through driving sustainable business,” said Tan Sri Syed Zainal Abidin Syed Mohamed Tahir, Group Managing Director of DNeX and also Executive Chairman of SilTerra.

He said the agreement will also see SilTerra having a guaranteed wafer base load for the next several years and ensure a high factory utilisation rate for the company going forward.    

“IC designers are striving to deliver energy efficient products, and this is aligned to strategies towards energy conservation and sustainability. As such, they look to adopt the smart power design techniques as well as advanced power technologies to meet this objective,” he said.

He added that SilTerra will be leveraging on its proven process technology, foundry design kits and intellectual property to deliver optimum energy efficient products.

DNeX recently completed the acquisition of 60% equity interest in SilTerra Malaysia Sdn Bhd from Khazanah Nasional Berhad. DNeX is now the majority shareholder of SilTerra.