Wolfspeed secures $1.5B DOD loan to expand silicon carbide and gallium nitride production

Wolfspeed has signed a $1.5 billion unconditional loan agreement with the U.S. Department of Defense’s Office of Strategic Capital to upgrade its gallium nitride epitaxy capabilities and develop radiation-resistant silicon carbide and gallium nitride products. The funds will support expanding low- and high-voltage power device production at facilities in North Carolina, New York, and Arkansas.

Why it matters. The loan strengthens domestic supply chains for wide-bandgap semiconductors critical to military systems including radar, electronic warfare, and missile defense, reducing reliance on foreign sources.