Siltronic Ag · XETR:WAF
Siltronic — Investor Day (November 2023)
18 slides from Siltronic's investor day presentation, Nov 30, 2023
Slide 1: The Wafer Market: Mechanics and Trends
THE WAFER MARKET MECHANICS AND TRENDS Dr. Rupert Krautbauer Senior VP Marketing & Sales November 30, 2023 © Siltronic AG
Slide 2: The Electronic World Is a Silicon World
THE ELECTRONIC WORLD IS A SILICON WORLD 2 Capital Markets Day – Nov. 30, 2023: Deep Dive - Wafer market
Slide 3: Silicon Is Fueling the Electronic World
SILICON IS FUELING THE ELECTRONIC WORLD Electronics USD 1,855 bn Semiconductors USD 562 bn Semiconductor silicon wafers USD 13.8 bn Silicon for electronic applications USD 1.3 bn Sources: 2022 TechInsights, WSTS (Silicon based), SEMI SMG, Gartner, Siltronic Marketing 3 Capital Markets Day – Nov. 30,
Slide 4: It Takes More Than 6 Months from Siltronic Ingot to Mobile Phone
IT TAKES MORE THAN 6 MONTHS FROM A SILTRONIC INGOT TO A MOBILE PHONE Supply chain determined by 6 months+ semiconductor production complexity from ingot production o Wafers are custom-made for each until your mobile is put specification starting with the ingot under the christmas o Changes in end ma
Slide 5: Wafer Business Is a Silicon World – Siltronic's Key Competence
WAFER BUSINESS IS A SILICON WORLD – SILTRONIC’S KEY COMPETENCE Wafer area in % SiC materials grow fast but from a very small base GaN & SiC GaN & SiC Others Others GaN R&D of Siltronic for 99% 97% 2022 Si 2030 Si more than 10 years 97% Si Silicon will remain the key material for almost all volume ap
Slide 6: Drivers for the Silicon Wafer Market
DRIVERS FOR THE SILICON WAFER MARKET 6 Capital Markets Day – Nov. 30, 2023: Deep Dive - Wafer market
Slide 7: Our Wafers Are Used in Multiple End Markets
OUR WAFERS ARE USED IN MULTIPLE END MARKETS Consumption of wafers by end use 2022 in % Siltronic is partnering with leading device makers Others Smartphones in all segments 20 22 All markets need Logic, Memory Automotive 14 PCs and Power at different 17 ratios Industry 16 11 Servers 50% of all silic
Slide 8: AI Servers Contain Different Chips – Siltronic in All Key Components
Server Bild und AI SERVERS CONTAIN DIFFERENT CHIPS – Abkürzungen erklären SILTRONIC IN ALL KEY COMPONENTS Logic processor High end Memory Power management Leading Edge 300 mm epi Leading Edge 300 mm pol Highly doped 200 mm wafers HBM Processor and GPUs DRAM and special memory MOSFETs convert grid ex
Slide 9: Semiconductors Omnipresent in Cars – Siltronic Meets All Automotive Standards
SEMICONDUCTORS OMNIPRESENT IN CARS – SILTRONIC MEETS ALL AUTOMOTIVE STANDARDS Examples of key components EV Inverter Power conversion Power Power based on 200 mm FZ + Logic Logic 300 mm low Oi wafers o Microcontrollers o Starter and utilities o ADAS o e.g. power seat, windows o Infotainment o Electr
Slide 10: High End Applications Require Specialized Wafers with Larger Growth Rates
HIGH END APPLICATIONS REQUIRE SPECIALIZED WAFERS WITH LARGER GROWTH RATES Leading Application Leading Edge Logic Power for EV & edge renewables requirements change fast for high volume applications Power Wafer type 300 mm 200 mm FZ, management requires leading edge epi 300 mm low Oi specialized sili
Slide 11: The 300 mm Market
THE 300 MM MARKET 11 Capital Markets Day – Nov. 30, 2023: Deep Dive - Wafer market Company Confidential © Siltronic AG
Slide 12: Silicon Market Grows in Parallel with Semiconductor Units
SILICON MARKET GROWS IN PARALLEL WITH SEMICONDUCTOR UNITS Semiconductor units (bn pcs) Silicon area (bn cm2) Semis are approaching USD 1.200 100 1 trillion by 2030(1) 1.000 80 800 Chip size 60 has been stable at 600 0.1 cm² over decades across all devices 40 400 200 20 Growth in semiconductors 0 0 t
Slide 13: 300 mm Wafers Have Grown from R&D to the Driving Force of the Industry
300 mm WAFERS HAVE GROWN FROM R&D TO THE DRIVING FORCE OF THE INDUSTRY million wafer/month 1990 Green Field Siltronic ships first 9 Expansion 300 mm wafers 8 7 Brown Field Expansion 6 2004 5 Siltronic starts production of 300 mm 4 Green Field fab in Freiberg Expansion 3 2 1 R&D Pilot Lines 2023 0 Fi
Slide 14: Wafer Industry Then and Now: Fewer Players Serve a Bigger Market
WAFER INDUSTRY THEN AND NOW: FEWER PLAYERS SERVE A BIGGER MARKET 2000 2022 Number of main wafer suppliers consolidated 300 mm wafer market grew 300x Size of HVM fab(1) shell 2,000% of market 5–8% of market remained similar New greenfield fabs do not disrupt supply & demand balance Market size: 25
Slide 15: How Our Customers Buy Wafers
HOW OUR CUSTOMERS BUY WAFERS Wafers are made to specification Capability is key o Various specifications with o High entry barriers different bottleneck processes o Wafer specifications are o Just-in-time production optimized for each application o Pricing and planning by specification o Qualificati
Slide 16: Higher Resilience through LTAs
HIGHER RESILIENCE THROUGH LTAs Customer Secures supply – most important for growth products and in up-markets Quantity fixed or ramping for “The most expensive wafer is the one you cannot get” growth products Known prices/conditions Commitment – security or prepayment Pricing Customer commitment (vo
Slide 17: Key Takeaways
KEY TAKEAWAYS Strong partnerships with top semi customers including Wide product portfolio covers #1 players for Memory, all volume trends with focus on Logic and Power Leading Edge and Power Industry growth on 300 mm Market maturity for 300 mm and supported by FabNext high LTA share increase and ou
Slide 18: Questions?
QUESTIONS? DR. RUPERT KRAUTBAUER Senior VP Marketing & Sales Siltronic Munich Siltronic AG Einsteinstraße 172 D-81677 Munich www.siltronic.com The information contained in this presentation is for background purposes only and is subject to amendment, revision and updating. Certain statements contain