IQE wins contract worth up to $25 million
UK-based epiwafer supplier IQE has won a contract, potentially worth up to $25 million, with an undisclosed US RF component manufacturer.
The two-year deal is effective from 1 November. It involves IQE supplying over 90% of the anticipated demand for the customer s epitaxial material, which is used to produce components for mobile handsets.
IQE s customer, which it has worked with for several years, will now cease epiwafer manufacture at its own site. The epiwafers will instead be produced at IQE s US site, located in Bethlehem, PA, which specializes in MBE growth.
"This agreement with such a prominent supplier of RF components for the cellular phone market demonstrates a clear movement towards the outsourcing model within the compound semiconductor industry," remarked Drew Nelson, IQE s CEO.
IQE s recent annual revenue has been in the region of $30 million, and so this deal could increase the company s top-line figure by up to 40 percent.
