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Infineon Technologies Austria AG

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Infineon Technologies Austria AG - ein Überblick

Infineon setzt auf Innovation

Spitzenposition in Forschung und Entwicklung

Innovationsfabrik für Leistungshalbleiter

Menschen sind unser Erfolg

Schutz für Mensch und Umwelt

ContentImprint Published by: Infineon Technologies Austria AG, Communications9500 Villach, Siemensstraße 2.Layout & Graphics: cremsner.atSecond edition: 12/2012Order No: B192-H9773-X-X-76002

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Infineon Technologies Austria AG — an Overview

Innovation Center Stage

International Excellence in Research and Development

Lead Fab for Energy-Efficient Semiconductors

People - The Key to Success

Environmental and Health Issues

Visit our Infineon YouTube Channel,and learn more about our products and their application area:

www.youtube.com/user/InfineonTechnologies


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Time Line4

Start of 4-inch wafer production Founding of Villach Development Center

Founding of Infineon Technologies IT-Services GmbH Klagenfurt

Kickoff for construction of front-end facility at Kulim High-Tech Park, MalaysiaInauguration of new research and development building in Villach

Inauguration of Development Center Bucharest, RomaniaInauguration of front-end fab at Kulim High-Tech Park, Malaysia

Extension of Development Center Graz Metahof IIIImplementation of Expert Support Service Center in Klagenfurt

Founding of Villach diode production facility

Sale of Comneon Linz Inauguration of new research and innovation building in Villach

Sale of Wireless segment, becomes Lantiq

Sales of Wireless Solutions segment, becomes Intel Mobile Communications

Start of 5-inch wafer production

Expansion of Villach Development Center

1970

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1997

Villach becomes Center of Excellence and leading site for power electronics Start of 6-inch wafer production

1998

Founding of Graz Development Center

1999

Founding of Sales Center for Austria and prospective southeast EU member states

Joint Venture: DICE-Linz University of Technology Development Center

2000

IPO of Infineon Technologies AG Founding of Comneon Software Development Center

Start of 8-inch wafer production

2001

Additional Development Center in Vienna until 2003

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2005

2006

2008

2009

2011

Transfer of parts of former Automotive Industrial Electronics Multimarket HQ functions to Villach

engl.

2012

Extension of production and inauguration and opening of new research building in Villach

Infineon Austria Time Line


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Strategy 2020

Infineon Technologies is a leading global provider of semiconductor and system

solutions that enable applications to shape tomorrow’s world in the focus areas

of energy efficiency, mobility and security.

Headquartered in Villach, Infineon Technologies Austria AG belongs to the

Infineon Technologies Group. In recent years, it has established itself as a

key Austria-based company and is vested with global responsibilities.

Infineon continues to expand its activities in Austria particularly in the

“Automotive” area as well as in “Power Management & Multimarket” and

“Industrial Power Control”, the two new divisions set up on January 1, 2012.

An international team from some 50 nations is engaged in the research,

development and production of microchips and contributes to the company’s

success at the Villach, Klagenfurt, Graz, Linz and Vienna sites.

Infineon Technologies Austria AG —

an Overview

6

Mag. Dr. h.c. Monika KircherChief Executive Officer (CEO)

Dipl. Ing. Dr. Sabine Herlitschka, MBAChief Technology Officer (CTO)

Strategy 2020

Infineon Technologies Austria developed “Strategy 2020” to expand Infineon’s

core competencies in Austria, further strengthen the company’s international

success and to enhance sustainable economic prospects for the business

location Austria. As strengths, with which Infineon Austria intends to develop its

competitiveness and which are to provide the basis for our strategy in all areas,

we have identified the following fields:

People Excellence

Innovation Leadership

Quality & Operational Excellence

Energy Efficiency

Analog, Mixed Signal & Power Systems

First-class innovation management and a deeply rooted culture of innovation

drive our work. The synergy of research and development, production and

global responsibility for defined Infineon segments has generated

comprehensive expertise, especially in one of Infineon’s three focal areas:

the large market for energy-efficient applications.

The Graz site is the hub for global expertise in contactless chip technologies,

generating cutting edge solutions in the area of security. In addition, we are

concentrating on sensor technology, which is currently gaining in importance for

electric vehicles in the area of mobility.

Dipl. Ing. (FH) Oliver HeinrichChief Financial Officer (CFO)

Infineon is committed to providing top solutions in the key areas currently

challenging modern society: energy efficiency, mobility and security. In order

to achieve this goal, Infineon launched its own “High Performance” program.

A high performance company delivers excellence. It continuously generates

sustainable value for customers, employees and shareholders – and hence for

society. Infineon Austria’s dedication to quality management forms part of this

quest for high performance.

We monitor the effectiveness of our strategy and the quality of our management

in our annual Management Self Assessment (MSA), which adheres to the EFQM

(European Foundation for Quality Management) method. This enables us to work

systematically and consistently on improving our organization.

In the last two years, Infineon Austria has entered the competition for the State

Award for Quality conferred by the Austrian Federal Ministry of Economics,

Family and Youth in cooperation with Quality Austria GmbH. The continuous de-

velopment of our company has now been rewarded with the highest recognition:

the Austrian Quality Award 2012.

Our breakthrough in manufacturing technology, as disclosed in October 2011,

serves as an example of high performance and innovation at Infineon Austria:

Infineon was the first company in the world to succeed in producing power

semiconductors on 300-millimeter thin wafers. In 2012, Infineon Austria was

also awarded the Innovation and Research Prize of the state of Carinthia for

this achievement.

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High Performance

Energy efficiency has become increasingly important as natural resources

dwindle and energy requirements rise. Infineon’s advanced semiconductor

solutions provide cutting-edge technologies for generating, transmitting and

using energy.

Vested with global responsibility for “High Voltage” and “Low Voltage” as well

as for discrete IGBTs and the IGBT chip business, Austria makes a major

contribution to the international success of these energy-saving products.

The long-standing tradition of collaboration between development and

production at the Villach site creates synergies and provides an excellent

basis for the success of these products on the market.

We have outstanding development expertise in the "Automotive" segment,

which we deploy, for instance, in technologies for hybrid drives or electric

vehicles. Infineon Austria is also in charge of the global business for

subdivisions of electromobility, such as the Powertrain Bare Die area.

With the creation of the DC/DC Center of Excellence in Villach, which

encapsulates development know-how related to power management units,

Infineon Austria has focused its attention on a promising market in the

area of energy efficiency. This technology enables electric current in battery-

operated, but also in more complex power supply units, to be adapted to the

particular needs of the end-consumer by means of DC/DC converters.

Infineon-wide responsibility for parts of the ASICs & Power ICs (application-

specific integrated circuits and power semiconductors) segment highlights

its world-class expertise in this field.

Focus on Energy Efficiency

Energy Efficiency

Another global center of excellence is Infineon Technologies IT-Services GmbH,

based in Klagenfurt’s Lakeside Science & Technology Park.

Since 2004, this company has been globally responsible for “IT Infrastructure”

(architecture, technical design, standards for computer systems, office integration

and system monitoring solutions, IT service desk) as well as for key segments of

the “Factory Integration” area (software solutions for microchip production),

“IT Enterprise Application Platforms” (architecture and operation of platforms,

such as that for SAP) and “IT Business Intelligence” (reporting and analysis

systems to support corporate management).

In 2011, the data center environment with over 2,000 CPUs (Central Processing

Units) was transferred to Austria and now provides the cloud computing services

worldwide for all employees working in research and development.

Klagenfurt has taken into account the increasing need for IT security and in 2012,

extended its global functions to include access control, video monitoring and

security operation. This also includes the global operation of all of Infineon’s

Internet services. What is more, new employees have joined the department

responsible for the business management software SAP because it has been

assigned overall responsibility for this “Enterprise Application Platform”.

Global IT-Management in Klagenfurt

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Infineon Technologies Austria was entrusted with another global responsibility

when development expertise for automotive tire pressure sensors was pooled.

TPMS (Tire Pressure Monitoring Systems) development is now located at the

Graz Development Center; the TPMS sensor manufacture takes place at the

Villach front-end fab. Comprehensive quality control is performed at the

Reliability Testing Center in Villach.

Center of Excellence for Tire Pressure Sensors

The reliability and quality inspection of Infineon’s semiconductor products for

automotive and industrial applications as well as for tire pressure monitoring

systems is carried out in Villach. The laboratory is responsible for testing the

reliability of technologies and products.

The findings are used, for example, as the basis for production and delivery

releases of new products.

Reliability Testing Center

Leading Company

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Responsibility for Austria

Austria has earned an outstanding reputation as a location for business and technology

development in Europe. Valuable contributing factors are the excellent quality of life,

the country’s socio-economic stability and ability of management and labor to achieve

consensus. Research-intensive multinational corporations such as Infineon require

an economic environment that offers attractive fiscal policy and a multitude of

direct and indirect research funding opportunities as well as a highly qualified

workforce to keep ahead.

Through partnerships and initiatives in research and education, Infineon Austria s

prospects of success on the global market are reinforced. As a Leading Competence Unit

(LCU) of an international company, Infineon Austria constitutes an important pillar of the

economy. The company’s innovation and value creation are very important for the region.

Infineon is also an initiator and founding member of the Carinthian International Club

(CIC), a multilingual network service offering comprehensive care and advice for

expatriates and their families, thus facilitating their integration into local (working and

social) life. Numerous activities and network activities promote mutual exchange and

relationship building between local and international members.

The number of CIC member companies has risen to 26 and the number of private

members has increased to 500. http://www.cic-network.at

A similar initiative was launched in Styria in 2012 and Infineon Austria is now also a

member of the “CINT” Club International which has its headquarters in Graz.

Stakeholders

Vienna Graz LinzKlagenfurt

An important factor determining Infineon’s success is our collaboration with

industry and research institutes at home and abroad.

Infineon Technologies Austria engages in partnerships and clusters mainly in

those states where there is already a strong business presence, i.e. in Carinthia,

Styria and Upper Austria. We use these networks and partnerships to boost our

international competitiveness.

Infineon Austria’s involvement in the national platform “Austrian Mobile Power“,

together with key stakeholders in industry, research and power management

promote electromobility concepts in the country with the aim of building up the

use of electric vehicles on the road.

Partnerships in Industry and Research

Many international customers visit us to verify the quality of our development

and production, and are impressed with the way we work. Our commitment to

quality is clearly visible in the manufacturing automation and implementation

of APC (Advanced Process Control). In the past fiscal year, a total of 34 audits

and customer visits from Europe, North America and Asia were successfully

completed.

Positive feedback and awards such as “Preferred Supplier” or “Honor Quality

Award” are endorsements of the high-quality service we provide.

Satisfied International Customers

Innovation as a pillar for business and technology development is as important

to Infineon as it is for Austria. To ensure that Austria maintains its status both

in Europe and abroad as one of the world’s most important high-tech locations,

Infineon places Innovation at the heart of its activities and supports a concerted

strategy that draws on research, technology and education in Austria.

Since 2008, Infineon Technologies Austria has pursued a broad-based innovation

strategy that involves all the business areas – from research and development

to production and customer and HR management.

Examples of the resulting success stories include a 50% percent increase in

energy efficiency in solar plants as a result of innovative semiconductor

technology from Infineon, the use of robotic systems to optimize the interplay of

people and machines during manufacturing processes, the silicon microphone in

nano format - meanwhile a market success, and the world’s first 300-millimeter

thin wafer pilot line for energy efficient power semiconductors.

Innovation Center Stage

14 Innovation

A Strong Culture of Innovation

Infineon Austria‘s strong culture of innovation encourages the

development of new ideas. We foster this environment in order to

sharpen the competitiveness of our products, technologies and

processes, and to promote the economic success of our employees’

ideas. With our all-embracing approach to innovation, which involves all

areas and levels to an equal extent, we create a setting that facilitates

the successful implementation from the idea to product launch.

A key aspect of our innovation campaign is the Innovation Days event,

which takes place several times a year and focuses on different issues

each time. Using an interdisciplinary and interactive approach, these

events serve as a platform for sharing experiences and exchanging

ideas on the topic of innovation.

So far more than 15 Innovations Days were held. One of the highlights

of this event series in the last fiscal year was the exhibition of about

50 PhD Theses that are currently being accomplished within the

Infineon Austria “PhD network”.

Since 2009, Infineon Austria has rewarded employees’ exceptional,

innovative achievements with annual innovation awards in a number of

categories. In 2012 Infineon Austria added a Learning Award. Given that

a responsible approach to errors and learning drives innovation,

Infineon Austria rewarded learning effects. The Learning Award was

presented within the framework of the "Quality Week" in Villach so as

to emphasize complementarities between high quality and innovation.

Infineon’s idea management, subsumed to the company’s quality and

innovation management, extends the basis on which innovation thrives

at Infineon Austria. The Infineon idea management program YIP

(Your Idea Pays) motivates employees to submit ideas for

improving products, processes and methods. The Infineon-wide

program generates significant benefit for the company every year.

The Innovation Award ofInfineon Technologies Austria AG

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Austria’s research and development area has shown excellent results over the

past few years. In recognition of this fact, the global Infineon Group has

increasingly been developing local competences, transferring world-wide

research tasks to Austria.

Infineon Austria focuses on power semiconductors that contribute to increasing

energy efficiency. Key products include systems for measuring tire pressure

monitoring systems, microchips used for controlling engines and airbags, and

contactless security products for ID cards.

The work of our international specialists is distinguished by short development

times, high standard and its focus on customer-oriented system solutions.

Some 1050 experts are engaged in research and development activities at the

Villach and Graz Development Centers, the DICE affiliate in Linz and at the

subsidiary Infineon Technologies IT-Services GmbH in Klagenfurt.

In order to build on our leading position in technological research, we invest

significant sums in research, development and innovation. In fiscal year 2012,

around 240 million Euros, a figure equivalent to about 20 percent of total sales,

was spent on research and development.

Research

International Excellence in Research & Development

R&D with International Expertise

Infineon Austria’s research experts exchange ideas with colleagues on

international networks, thus leaving the company’s stamp on international

technical development and contributing to the international success of the

company.

Our experts are successfully involved in numerous research cooperations and

partner projects. As part of a cooperation between Infineon Austria and the

Institute of High-Energy Physics of the Austrian Academy of Sciences (HEPHY),

particle detectors are being developed for CERN experiments. These are used

for identifying elementary particles such as the recently published discovery

of a new particle consistent with the long-sought Higgs-Boson.

Energy-Efficient Solutions from Villach for Automotive and Industrial Applications

Villach has been home to the development of microelectronics for more than

three decades. The global importance of research and development in Austria

was highlighted first in 1997, when the worldwide center of competence for

power electronics was established at the Austrian site.

Besides holding responsibility for “Low Voltage Power Conversion”,

“High Voltage Power Conversion” and “IGBT Chips & Discretes”, Villach is also

in charge of energy-saving chips. International teams of experts concentrate

on increasing energy efficiency and system miniaturization with innovative

power semiconductors that reduce conversion losses along the entire value

chain of energy.

These chips make power supply more efficient and are to be found in industrial

applications, such as computers, communication products, consumer electronics

and lighting, and help to increase efficiency levels well above 90 percent.

Power electronics are essential for the utilization of renewable energy from

windparks and photovoltaic plants as well as for the power distribution via

smart grids.

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For power electronics Infineon is not only the technological, but also the

commercial market leader in silicon components. Intensive research work and

development ensures that Infineon will also play a leading role in future silicon

carbide (SiC) and gallium nitride (GaN) switches.

An example of this successful development work is CoolMOS™, a technology

for which Infineon has received many awards and for which it was conferred the

prestigious 2001 Innovation Award of German Industry. The sixth generation

of CoolMOS™ is already being developed. To date, CoolMOS™ has generated

approximately five billion sold products.

In the focal field of mobility, power electronics and sensors play an important

role in shaping the technical dimension of a vehicle. For applications in power

distribution, such as for example, light applications, intelligent comfort electro-

nics and relay replacement, our products help to reduce CO2 emissions and also

increase comfort. State-of-the-art lighting systems designed not to

dazzle oncoming traffic will increase road safety and are being developed for

serial production in collaboration with our customers.

New generations of angle and speed sensors have opened up a new range of

vehicle applications (e.g. for valve controls, seating allocation, but also for

steering control and sensors for optimizing emissions) and provide the basis for

the mobility concepts of the future. As one of the largest manufacturers of

integrated sensors, Infineon has already supplied over two billion sensor

components for automotive applications.

The high degree of innovation in Austrian research and development activities in

the area of mobility has been highlighted by the current success regarding the

topic of passive vehicle safety. Components that operate and control the entire

airbag system while still meeting the highest reliability standards (ISO 26262)

are being integrated into one single chip.

Stand 30. September 2012, inkl. inländischer BeteiligungenFacts and Figures 2011-2012 FY

Infineon Technologies Austria AGSales 1,208.7 million Euro

Profit 106.9 million Euro

Investments 248.8 million Euro

R&D expenses as % of sales 20

total employees 3,038

Patent applications filed in the fiscal year with Austrian participation 239

Production volume in the fiscal year under review 15.5 billion Chips

As at September 30, 2012, incl. domestic holdings

Domestic holdingsSales 3.9 billion Euro

Employees worldwide approx. 26.600

Infineon in detail As at September 30, 2012, incl. domestic holdings

Infineon at a glance

EmployeesTotal no. of employees 3,038

Total percentage of women 14.6%

Employees in R&D 1,051

Product & process development and quality assurance employees approx. 360

External employees contracted permanently via partner companies approx. 1,550

Undergraduate/PhD project students 86

Apprentices 45

Interns & vacational/ temporary industrial workers 758

Research & DevelopmentInvention disclosures 344

Filed patent applications 239

R&D expenses as % of sales 20

ProductionProducts (basic types) approx. 1,400

Production volume 15.5 billion chips

Audits and visits by customers 34

IFATeinheftbogen_2012-13_engl.indd 1 15.01.13 10:50

Infineon Technologies Austria AG continually receives awards from customers and

public organizations in recognition of outstanding achievements in various areas

of the company`s activity.

The most recent and most significant awards over the last years

Environmental Protection & Health

Equal Opportunities & Young Talent Development

Quality & Supplier Reliability

Innovation

Trigos Award Carinthia 2012, 2007

EMAS Award 2009

Seal of Approval for Workplace Health Promotion (3-year) 2012, 2009, 2006

Health Foundation Austria “Workplace Health Promotion” 2nd place 2008

Ministry Award for Approved Environmental Management 2004

Ecological Audit Award 2001

Business Award for Integration 2010

KNEWLEDGE State Award 2009 2010

Trigos Award Carinthia 2010, 2008

State Award for Equal Opportunities in Research and Development 2009

Special Prize, ebiz eGovernment Award 2009, 2008

ebiz egovernment award Carinthia 2008

Anton-Benya Award 2008

Austrian State Award for Corporate Quality (AQA) 2012, 2001

Jury Prize for Innovation and Nomination for the State Award for Quality 2011

Artesyn “Strategic Supplier Status” 2010

Tridonic.Atco “Performance Certificate” 2010

Toyota „Best of Excellent Quality Award“ 2009

Tridonic.Atco „Excellent Supplier 2008“ 2008

European supply chain excellence award 2007 2008

Recognised for Excellence 4* qualityaustria 2008

Sony Energy Devices Appreciation Award 2007

Emerson Marquee Supplier 2007

Carinthian Innovation and Research Award 2012, 2009, 2005

DICE – Innovation Award of Upper Austria, 3rd place in 2008 2010, 2008

FIT-IT Project Award „Beyond Serial CMOS Links“ 2007

CONEX Business Process Award 2006

Leonardo Award 2004

German Innovation Award 2002

Austrian State Award for Innovation 2000


Carinthian Innovation and Research Award 2012, 2009, 2005

DICE – Innovation Award of Upper Austria, 3rd place in 2008 2010, 2008

FIT-IT Project Award „Beyond Serial CMOS Links“ 2007

CONEX Business Process Award 2006

Leonardo Award 2004

German Innovation Award 2002

Austrian State Award for Innovation 2000

Infineon Austria: An OverviewInfineon Technologies Austria AG including domestic holdings

Changes and Events in the 2011/2012 Fiscal Year

High Investments in Austria

In the past fiscal year Infineon invested the substantial sum of Euro 250 million in

Austria. These funds were used mainly for expanding the production facilities by adding

2,000 square meters of clean room area and for erecting a new research and

development building.

The World’s First Power Semiconductors on 300mm Thin Wafers from Villach

Following the installation of a pilot line for manufacturing power semiconductors on

300mm thin wafers, the feasibility of the technology developed in Villach was

successfully demonstrated. This makes Infineon the first company in the world to be

capable of manufacturing power semiconductors in 300mm thin wafer technology.

Personnel Changes on the Management Board

Oliver Heinrich was appointed to the Management Board of Infineon Technologies Austria

AG effective July 1, 2012. In his position as Chief Financial Officer (CFO), he is responsible

for Finance, Purchase, IT and Compliance at Infineon Technologies Austria AG.

Foreign Subsidiaries of Infineon Austria

Infineon Technologies Romania SCSIn April 2005, Infineon Technologies Romania SRL, a subsidiary of Infineon Technologies Austria AG, was established in the Romanian capital of Bucharest.

Infineon Technologies (Kulim) Sdn BhdIn September 2006, Infineon opened a front-end fab, again a subsidiary of Infineon Technologies Austria AG, at the Kulim High-Tech Park in Malaysia.

P ProductionR&D Research & DevelopmentM Marketing

Infineon Technologies Austria AG including affiliates

Infineon Austria: An Overview

Vienna (Sales)Linz (R&D)

Klagenfurt (IT)international HQ function

Villach (R&D, P, M, IT)international HQ function

Graz (R&D)


Development

Alongside the products, new power technologies tailored to automotive

requirements are also being manufactured in Villach.

Drawing on synergies between the key areas of energy efficiency and mobility,

the analog/mixed-signal field of research – formerly a significant factor in the

success of communications solutions – has been reorganized into thematically

focused centers of excellence. All of Infineon’s business areas benefit from the

Austrian developments.

The newly formed centers of excellence focus on mixed analog/digital circuits in

the fields of power management, analog to digital converters for micro-

controllers, clock systems, optical sensors, driver circuits for high-voltage

switches as well as converters and digital microphone amplifier circuits.

These are found in wide-ranging customer-specific telecommunication

applications, in the electronics for computer and health systems or in the

automotive sector. Combined with sensors and software, these modules

form complex technical systems.

The expertise from Villach significantly strengthens the consolidation of

Infineon’s leading position in the analog/mixed signal sector on the global

market. Mixed analog/digital circuits make a significant contribution to our

international competitiveness due to the heightened differentiation of our

microcontrollers and our customized products.

Innovative Halbleiter-Technologie

Globale Herausforderungen im Fokus

Unsere Welt steht vor großen Herausforderungen: Die Bevölkerung wächst, immer mehr Megacities

entstehen und der globale Energiehunger steigt rasant. Zudem fordert der Klimaschutz neue

Lösungen in vielen Bereichen unseres modernen Lebens.

Für eine lebenswerte Zukunft brauchen wir innovative Technologien für energieeffi ziente Systeme,

fl exible Verkehrskonzepte und Sicherheitslösungen für digitalen Datenaustausch. Leistungsstarke

Halbleitertechnologie von Infi neon liefert die Schlüsselelemente für die neuen Wachstumsmärkte -

und für eine nachhaltige Zukunft.

Energieeffi zienz

Strom ist der universelle Energieträger von morgen. Aber wir müssen wirtschaftlicher

damit umgehen. Gefragt sind energieeffi ziente Lösungen. Mit Halbleitertechnologie

von Infi neon lässt sich die gesamte Energiekette effi zienter gestalten — von der Strom-

erzeugung und -übertragung bis zu seiner konkreten Nutzung. Chiplösungen von

Infi neon sorgen unter anderem für die Einspeisung von Windenergie ins Stromnetz

und erhöhen die Energieeffi zienz von industriellen Antrieben.

Mobilität

Menschen wollen mobil sein. Aber wachsende Urbanisierung und Klimaschutz verlangen

künftig neue Lösungen: Neben energieeffi zienten Autos brauchen wir nachhaltige und

bezahlbare Konzepte für den Nah- und Fernverkehr. Ob in U-Bahnen, Hochgeschwindig-

keitszügen, Elektroautos oder E-Bikes — in den Antriebssystemen von morgen

ermöglichen Halbleiter von Infi neon die effi ziente Nutzung von Energie.

Sicherheit

Digitaler Service prägt unseren Alltag: Ob im Internet oder bei elektronischen Pässen

— in der modernen Kommunikation müssen individuelle Informationen zuverlässig vor

Missbrauch geschützt werden. Sicherheitschips von Infi neon übertragen Daten nicht nur

schnell, sie sorgen mit innovativer Verschlüsselungstechnik auch für sicheren Daten-

transfer — und schützen so unsere virtuelle Identität.

IFATeinheftbogen_2012-13_dt.indd 4 28.11.12 10:50

20 Expertise

Global Responsibility for Contactless Chip Cards and Tire Pressure Sensors in Graz

The Development Center Graz, established in 1998, is the global center of

excellence for contactless technologies in applications such as chip card and

security ICs (integrated circuits), RFID (Radio Frequency IDentification) and radio

components for automotive applications. Today, Graz DC is one of the largest

Infineon R&D hubs.

Infineon has been the market leader in chips for card applications for

15 consecutive years (IMS Research 2012). The Graz team plays a significant

role in achieving this status. The center develops chips that exchange data with

read/write devices via radio waves. Such semiconductor solutions are used, for

example, in chip card applications for local public transport, in electronic

identification documents and automated libraries as well as in payment systems

including credit cards.

The Graz team’s RFID developments are setting new standards worldwide.

RFID chips enable a host of applications to make life simpler and securer,

ranging from automated libraries, through to more convenient access to

buildings and modern ticketing systems, all the way to guaranteed availability

and forgery-proofing of diverse products, and secure identification documents.

The Graz team is the driving force behind developments that make it possible to

combine a high rate of data transmission with high-level security, thus

equipping future ID documents with great data volume capacity (as is necessary

for biometric or visa information). Latest developments by the Graz team have

set new standards and have led to new directives by standardization bodies,

such as the ISO (International Organization for Standardization).

Since 2009, the Graz site has held global responsibility for all development

projects pertaining to tire pressure monitoring systems. The German Association

of the Automotive Industry (VDA) has selected alternators controlled by a

module developed in Graz as one of two reference designs for this application.

They ensure that optimized charging of a car battery and all consumption

requirements are met through efficient power supply. Likewise, system modules

for the automotive industry are being developed in Graz, such as those for

exceptionally fast and accurate control of automated transmission gears.

In 2011, the Graz team started developing a 3D imager, which – apart from

providing a clear picture – also determines the distance of each pixel from the

camera to the object and transmits the information to the system.

First prototypes of the camera are already being tested by the customer.

Radar Components from Linz Set Standards

The Infineon affiliate DICE (Danube Integrated Circuit Engineering) is at the Linz

research and development site.

DICE came into being as a spin-off from the Johannes Kepler University in Linz

and can look back on a twelve-year success story.

A focal area of DICE is the development of integrated radar sensors for the

automotive sector. Working together with colleagues from other Infineon sites,

the DICE engineers developed the world’s first 77 GHz radar sensors in plastic

casing to be used in series production and thus made a decisive contribution to

efficient production of automotive radar sensors. These components stand out

for their numerous monitoring functions, which thus make it possible to design

extremely reliably systems.

Close collaboration with research establishments and universities, such as the

Johannes Kepler University in Linz or the University of Applied Sciences in

Hagenberg, is a strong driving force for future innovations.

Highest Quality for Zero-Defect

The industry sector demands continuous improvement both in product quality

and efficiency. That is why the production process is certified under the

ISO 9001:2000 and ISO TS 16 949:2002 (automotive standard) quality programs.

Our customers receive first-class quality with our chips. This priority goal is in

line with the safety and reliability requirements of our customers in the

transport industries such as the automotive or railway sectors as well as in the

energy industry for products such as wind turbines. In these areas in particular,

electronic defects cannot be tolerated.

The long-term goal of zero defects means that we wish to supply our customers

with the highest quality – without malfunctions or defects.

The production of semiconductors requires a high level of purity both in the raw

materials it uses and in the ambient air. Work in Villach is performed in Class 1

and Class 10 clean rooms. Class 1 clean rooms provide an environment where no

more than one particle with a maximum diameter of 0.5 microns is admissible

in 28 liters (one cubic foot) of air. By comparison, the same volume of normal

ambient air contains about one million particles.

The chips are subjected to a variety of checks throughout the manufacturing

process and their electrical functionality is tested after completion. This is how

we implement our goal to supply “zero defect” components.

22

Microchips for use in automotive and industrial electronics are manufactured at

the Villach site. Most of the products are in the power semiconductor category

and consist of semiconductor elements responsible for controlling and switching

high electric currents and voltages in a vast array of applications.

In 2011, for the ninth consecutive year, Infineon maintained its first place position

on the global market for these power semiconductors (IMS Research 2012).

Within the Group, Villach is the innovation fab for power semiconductors with

production lines for 150, 200 and 300-millimeter wafer diameters.

Around 1,400 products (basic types) are manufactured in Austria. In the past

2011/12 fiscal year, 15.5 billion chips left the facility. The existing production area

in Villach, currently comprising three production halls and a hall for wafer tests,

was extended by an additional 2000 m2².

The combination of development and production at the Villach site is a special

feature within the Group and facilitates optimal pooling of expertise. The cross-

divisional teamwork enables short turnaround times from inception to finished

product.

Villach operates together with other sites in Europe and Asia in a manufacturing

cluster in which production know-how is exchanged between the experts and

production capacity is optimally used so as to be able to meet customer

requirements in the shortest possible time.

Highest Quality

Lead Fab for Energy-Efficient Semiconductors

Minimum Features Sizes – Maximum Performance

Apart from its R&D facilities, Villach can also boast Infineon‘s largest production

line for power semiconductors. This is where electronic components are

produced and tested on silicon wafers in various technologies and complexities

in as many as 400 steps. The challenge is to manage widths of structures down

to 200 nanometers. For comparison: that is about 350 times smaller than the

diameter of a human hair.

MEMS

MEMS (Micro-Electro-Mechanical Systems) have also been produced at Infineon’s

Villach site since 2008. Processes similar to those in classical semiconductor

manufacturing are used to produce these micromachines.

The MEMS produced in Villach are used in a wide array of areas, e.g. as tire

pressure sensors or as a microphone in nano format. In developing the MEMS

technologies, the Villach site has significantly broadened its spectrum of

production expertise.

24

Energy Efficiency Thanks to Thin Wafers and New Materials Thin wafer technology is pivotal for higher energy efficiency in electrical and

electronic end devices. The manufacture and handling of ultra-thin chips

represent a great challenge in the production process. Villach possesses globally

unique expertise in the high-volume production and processing of silicon wafers

as thin as 40 microns.

Thin Wafers

The World’s First 300-millimeter Production Line for Power Semiconductors in Villach

Chip production is seeing a trend to larger wafer diameters, permitting an

increase in the number of chips per wafer and a decrease in cost. Outstanding

process know-how and innovative strength at the Villach site made it possible

to develop the world’s first production process for power semiconductors on

300-millimeter wafers. The first pilot line for this purpose was installed at the

Villach site.

It was possible to produce the first silicon on this line within a year,

demonstrating the feasibility of 300-millimeter technology for power

semiconductors. Villach’s unique expertise in thin wafer technology was key

to achieving this success. Within the Infineon Group, Villach is responsible for

developing 300-millimeter technologies – an area with great prospects for the

future – and the associated production techniques.

Experts are working on halving wafer thickness so that we can produce wafers

of 20 microns in high quantities. By way of comparison: a sheet of paper is

roughly 100 microns thick. Infineon Austria received the 2009 Innovation and

Research Award of Carinthia for outstanding expertise in thin wafer technology.

Using innovative basic semiconductor materials such as silicon carbide (SiC)

and gallium nitride (GaN), it is possible to produce very efficient, fast-switching

power packs, which are not only extremely reliable but also have lower power

consumption than comparable products. Products with these technologies are

used in high-potential markets such as solar energy or wind power, transport,

hybrid and electric cars, and for everyday energy conversion as is found in

power supply units or household appliances.

The reduction in size and weight of the end devices is a big plus in terms of

energy efficiency. These innovative power semiconductors are developed and

produced at the Villach site using new primary materials.

26

Production Innovation

Highly skilled and passionate people are the backbone of our innovation fab

in Villach. With a view to staying ahead of global competition and inspiring our

customers, we proactively address the challenges of a modern production site.

Key to our success is the formulation and implementation of new ideas.

What is more, we lobby on a European level for optimal conditions, in order to

maintain and strengthen the position of key technologies such as micro-

electronics in Europe.

The focus of our production innovation is in single process technology,

equipment engineering, new materials and automation, digitization and

production concepts.

The iRobotics (intelligent Robotics) innovation project addresses the optimal

interplay of man and machine. Flexible robots are equipped with the capability

to automatically load and unload machines.

Digitization concepts aim at using the data generated millions of times over in

order to avoid errors, raise quality and to facilitate human work.

People

Infineon Austria, as a top employer, offers an attractive working environment

for committed and talented employees. We follow innovative approaches, using

future-oriented models and programs to be able to provide an optimal

framework for the day-to-day challenges.

Infineon Austria has a wide range of initiatives that help to inspire young talents

for technology, promote life-long learning in the company and sustainably

extend future-oriented diversity management in the company.

Infineon’s appreciation of its staff finds expression in many employee benefits,

including a comprehensive health care program.

Our employees are motivated, flexible and highly qualified – and it is their

excellent performance that has played such an important part in achieving the

company’s present success.

The Intelligent Fab

The Villach plant was the first semiconductor manufacturing facility in the world

to control its production units with the aid of various radio technologies.

The software comes from the Infineon subsidiary in Klagenfurt, while the

complex chip technology comes from the Graz Development Center. Today this

logistics system is already being successfully used in other Infineon fabs.

Energy efficiency plays a central role in the production process. With up to

seventy percent regenerative energy, the intelligent fab in Villach is among the

most energy-efficient in the world.

People Are the Key to Our Success

28 Diversity

Promoting Diversity in the Company

Diversity has many different dimensions. Infineon Austria initiates many

measures to unlock the potential of diversity with respect to internationality,

age, gender and professional expertise.

Cultural and international diversity stimulates innovation. Employees from

around 50 nations underline the international character of the Austrian sites.

Infineon Austria strives to attract employees with excellent qualities to the

company, with a view to engaging them in a long-lasting and successful career

at the company.

A variety of recruiting activities and attractive employment packages bring

experts and high-potential professionals to Austria. Their long-term stay is also

encouraged outside the company through collaboration with organizations such

as the Carinthian International Club.

In order to attract people from the younger generation, the Junior Talent

Program was implemented. Tailored to top science and technology graduates,

the 18/24-month program offers trainees a way to develop their own special

skills in a dynamic environment with job rotation, training sessions, feedback

and networking activities.

Lifelong Learning and Knowledge

Great importance is attached to education and training in all areas of the

company as it is a decisive factor for our competitiveness.

Infineon Austria supports the development of its employees with a wide range

of training options that are tailored to address current and future requirements.

Vocational training and further studies at external teaching centers complement

the offer of job-specific in-house courses, where experts pass on their know-

how to colleagues.

Drawing on the findings from the last “Great Place to Work” survey,

a management development program “Leadership 2020” was designed and

implemented, to enhance and release potential in management functions for the

entire company.

Gender and Generation Balance

Infineon employs a wide range of activities to offer women and men ideal

conditions for reconciling work and family life. In 2012, the company initiated

the International Day Care Center at which the teaching has a scientific and

technical focus.

With the aim of increasing the number of women not only working in technology

but also in top management, Infineon introduced a global Gender Diversity

Network in the last fiscal years. Its members develop and promote targeted

measures so that men and women can equally develop their full potential during

the course of their career.

Infineon Austria reflects the demographic profile of European society.

Some forty percent of the employees are over 45 years old. With the project

“Best Aging @ IFAT” steps towards a suitable framework for generation balance

and excellent knowledge management are being taken.

30 Youth

As part of a cooperation with the Carinthian Chamber of Industry, pupils from

regional junior high schools (Hauptschule, Mittelschule and AHS lower cycle) can

also take part in hands-on courses to learn about careers in science and

technology. Infineon's objective in this area is to help these youngsters decide

about the career they want to pursue by help of practical insights.

In fiscal year 2012, an Infineon high performance class was initiated at an

engineering college in Klagenfurt (HTL1) to emphasize the interplay between

mechanical engineering and electronics in the curriculum. It has a unique

international focus, building on foreign language skills and the

recommendation for work experience abroad. About 30 pupils will be

accompanied until they take their school leaving examination.

In 2012, Infineon Austria partnered with the YPD Challenge for the third time.

Four of the winners of this contest for Austria’s most attractive internships opted

for a placement at Infineon Austria.

With its four-year dual apprenticeship program, Infineon Austria offers youngsters

in-house apprenticeships in mechatronics and electrical engineering (systems and

industrial engineering), professions with a promising future. There is also the

option to conclude the apprenticeship with an entrance diploma for University.

At present 29 percent of the apprentices at Infineon Austria are female.

Winning Young People for Technology

Infineon Austria undertakes a wide range of activities to inspire youngsters’

interest in technology and to show them the promising opportunities offered by

a technical profession using unconventional methods.

Infineon Austria initiated the bilingual “International Day Care Center” with its

focus on Technology and natural sciences. The high-quality concept was

conceived by Infineon together with the parents-led association Sonnenstrahl

that runs the day-care center. It encourages children to explore and research

scientific and technological phenomena in a playful way. The public

kindergarden has capacity for around 60 children from age one to six and is

open all year round, also during vacation periods.

The childcare program “Summer Kids” offers the children of employees working

at Infineon Austria a pedagogically supported introduction to the technical

world in which their parents work. The Carinthian International Club is in charge

of running this summer program.

The SEMI High Tech University (HTU) offers youngsters aged between 13 and

14 a hands-on introduction to microelectronics. Infineon Austria supports this

program which was developed in the USA and rolled out with great success

internationally, and the program is organized by the Carinthian Teacher Training

College.

32 Environmental Protection

Talents for the Future

Infineon Austria partners with educational establishments to foster the best

possible environment for the training and further education of young people

in science and technology. Partnerships with the Universities of Technology in

Vienna and Graz, universities in Linz and Salzburg, and universities of applied

sciences in Wiener Neustadt, Vienna, Hagenberg and Carinthia enable active

exchange between industry and higher education.

In particular, Infineon Austria cooperates for the master program “Integrated

Systems and Circuit Design” at the Carinthian University of Applied Sciences and

additionally offers a two-year scholarship.

It also plays an active role as a partner of the newly launched master program

“Energy-efficient electronic systems” at Graz University of Technology as well as

for the part-time degree in ”Clean room technology”.

Infineon Austria has become a partner company of Vienna University of

Technology’s “TUtheTOP” high-potential program for the first time. Within

the scope of this program, we accompany a group of Vienna University of

Technology’s best students for two semesters, offering insight into the company

and useful additional qualifications.

Sustainability is an integral part of entrepreneurship at Infineon Austria.

We are aware of our role model status as a large industrial enterprise.

Infineon Austria has integrated environmental protection into all the company’s

processes for many years now and has been EMAS-validated since 1997.

In 2009, Infineon Technologies AG received the EMAS Award 2009 from the

Austrian Ministry for Environmental Affairs. In addition, we are the first

company in Austria to be validated according to the EMAS III Regulation

(EC No. 1221/2009). EMAS stands for “Eco-Management and Audit Scheme” and

is a voluntary environmental management system for companies within the

European Union.

Our approach is double-pronged: On the one hand we explore every avenue to

ensure responsible and sustainable management of resources within our own

sphere, while on the other hand Infineon develops products suited for reducing

energy consumption in the household and in industry globally.

You can find detailed information about our environmental activities in our

annually updated Environmental Statement:

www.infineon.com/austria/downloads

Addressing Environmental and Health Issues

34

In 2012, the IMPRES Program (set up in 2005), which covers all the processes,

strategies and corresponding goals in the areas of health, occupational safety

and environment was extended to focus more on energy and has now been

renamed the “Infineon Integrated Management Program for Environment, Energy,

Safety and Health”.

In addition, in 2005 the occupational safety management system was

matrix-certified under the OHSAS 18001 (Occupational Health and Safety

Assessment Series) standard.

We regard health, occupational safety and environmental protection as well

as energy management to be pillars of our integrated approach and pay close

attention to energy efficiency when developing new processes and products.

Measures promoting health and environmental protection complement Infineon

Austria’s economic goals and reinforce the sustainability of our activities.

Infineon Überschrift

Integrated Approach

Setting a Good Example

In 2012, Villach changed from natural gas to district heating making energy

management at the production site more efficient and more sustainable.

Switching from the fossil fuel gas to regenerative energy means that

approximately two thirds of the total energy consumption is replaced by

district heating. Connecting an entire district in Villach to the biomass district

heating network not only has advantages for Infineon, it also reduces the

overall carbon footprint.

Health Care Management

The semiconductor industry is a demanding work environment. That is why the

promotion of health care is a special concern at Infineon. With the support of

the company`s medical service at the Villach site, emphasis is placed on care,

exercise and nutrition. Employees can choose from a wide range of fitness and

health offerings.

An in-house team of mediators is available for conflict prevention and conflict

management. Stress management and mediation or burn-out prevention are

offered as part of further training courses on offer at the company and all the

employees can opt for anonymous external psychological support if they wish.

Infineon Austria has repeatedly won the Carinthian regional health insurance

fund’s “Seal of Approval for Workplace Health Promotion”, and has again done

so for the years 2012 to 2014. Company medical service care is also provided

at the Graz site.

Our Integrated Approach When conceiving new processes, technologies and innovations we take into

consideration their impact on the environment and sustainable development.

This is especially visible in the current construction projects at the site.

In 2012, for example, our newly opened research building was designed and

certified as a category A “climate active house”. What is more, with the

framework of an “energy efficiency” project, ideas submitted by our employees

disclose new avenues for greater energy efficiency in Austria.

Other good examples include the e-charging station with an integrated

photovoltaic system set up in September 2011 together with Kelag (Carinthian

power supply company), the procurement of an electric car and five electric bikes

for work-related trips, as well as activities for energy certification according to

EN ISO 50.001.

Inf ineon Technologies Austria AG

Villach siteSiemensstraße 29500 VillachTel.: +43 (0)517 77 - 0 Fax: +43 (0)517 77 - 3269E-Mail: info-austria@inf ineon.com

Innovative Semiconductor Solutions for Energy Efficiency, Mobility and Security

Energy EfficiencyOur innovative products increase theefficiency of the entire energy supply chain - from generation, via distribution,to consumption.

MobilityWe offer a broad range of solutions foran increasingly mobile world, setting newstandards in safety, efficiency and cost.

SecurityGrowing mobility requires reliable securitysolutions for communications, transportand IT. We have the world’s largest portfolio of chips and interfaces for the most challenging security requirements.

Other sites

Graz siteBabenberger Straße 108020 GrazTel.: +43 (0)517 77 - 0 Fax: +43 (0)517 77 - 5991

Vienna siteLinke Wienzeile 4/1/3 1060 ViennaTel.: +43 (0)517 77 - 0Fax: +43 (0)517 77 - 11 500

DICE GmbH & Co. KGFreistädter Straße 4004040 LinzTel.: +43 (0)517 77 - 15 151Fax: +43 (0)517 77 - 15 999

Infineon Technologies IT Services GmbHLakeside B059020 KlagenfurtTel.: +43 (0)517 77 - 0 Fax: +43 (0)517 77 - 4666

Infineon Technologies Romania SCSBd. Dimitrie Pompeiu nr. 6Sector 2020337 BucharestRomaniaTel.: +40 (0)31 860 - 77 01Fax: +40 (0)31 860 - 78 64

Infineon Technologies (Kulim) Sdn BhdLot 10 & 11, Jalan High-Tech 7Industrial Zone Phase IIKulim Hi-Tech Park09000 KulimKedah Darul AmanMalaysiaTel.: +60 427 - 8888Fax: +60 427 - 8889

www.inf ineon.com/austria

Infineon Technologies Austria AG, December 2012, published by Infineon Technologies Austria AGOrder No.

B192-H9773-X-X-7600

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