DNeX’s SilTerra bags long-term contract from China’s Chipone

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KUALA LUMPUR: Dagang Nexchange Bhd’s (DNex) unit SilTerra Malaysia Sdn Bhd has secured a multi-year contract to supply wafers to Chipone Technology (Beijing) Co. Ltd.

It said on Wednesday SilTerra will supply wafers which are used in the production of semiconductor devices to the customer exceeding US$400mil based on various assumptions.

“The agreement contains major commercial terms that both parties have negotiated and agreed and are commercially confidential in nature under confidentiality agreement between both parties,” it said.

Chipone Technology is the world’s leading driver integrated circuit (IC), touch controller and fingerprint sensor fabless IC design house based in Beijing.

“The agreement marks a significant milestone in the strategic partnership between the two companies which started in 2019.

“Under the agreement, both companies would work closely on product development and mass production based on SilTerra’s state-of-the-art bipolar-CMOS-DMOS (BCD) technology,” it said.

“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.

DNeX said CMOS and DMOS refers to complementary metal oxide semiconductor and double diffused metal oxide semiconductor respectively.

“The agreement will allow SilTerra to have a guaranteed wafer base load during the terms of the agreement, which will mitigate any downward variability in customers orders and ensure SilTerra has a reasonable factory utilisation and other operational efficiency moving forward.

“The agreement is expected to contribute positively to the long-term revenue of SilTerra and in turn to the earnings of the company,” it said.



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