SEOUL, South Korea, Oct. 11, 2023 /PRNewswire/ -- Key Foundry, an 8-inch pure-play foundry in Korea, announced today that it has signed a long-term supply agreement with Vishay Intertechnology Inc. (NYSE:VSH) for multiple power MOSFET products.

Power MOSFETs are the typical power discrete device, characterized by low loss, high-speed switching, and high reliability during high-voltage, high-current operation, which are commonly used in almost every electronic device.

According to a market research firm OMDIA, the power discrete market is expected to grow at a CAGR of 6% from $21.2 billion in 2022, reaching a $28.4 billion market in 2027. Vishay is one of the global leading companies in the power discrete market, and its power semiconductors are widely applied to automotive DC-DC converters, battery management systems, HVAC (Heating, Ventilating, and Air Conditioning) control, LED lighting, as well as consumer and industrial products such as TVs, refrigerators, washing machines, and VR/AR.

Key Foundry and Vishay have signed this long-term foundry service agreement for multiple power MOSFET products, with a plan to start mass production in 2024. In addition, both parties have begun discussions for other future product development.

With this agreement, Vishay secures a reliable source of foundry services for MOSFET production, while Key Foundry engages with a large customer for automotive power discrete, which will increase its share of automotive semiconductor sales in the long term.

"With this agreement we are taking another step forward in our plan to expand capacity, both internally and externally. In particular, it will help us alleviate our current MOSFET supply constraints especially for our automotive and industrial customers," said Joel Smejkal, President and CEO of Vishay.  "In evaluating foundry partners, we decided to engage with Key Foundry because of its foundry's capabilities and proactive response, and we look forward to the synergies we can achieve through cooperation with Key Foundry."

"We are pleased to collaborate with Vishay, a leading automotive power semiconductor company," said Derek D. Lee, CEO of Key Foundry. "Key Foundry will continue to improve process technologies as well as strengthen capabilities in marketing, quality, and production to expand supply of automotive semiconductors and grow into a leading specialty foundry."

About Vishay Intertechnology, Inc.

Vishay manufactures one of the world's largest portfolios of discrete semiconductors and passive electronic components that are essential to innovative designs in the automotive, industrial, computing, consumer, telecommunications, military, aerospace, and medical markets. Serving customers worldwide, Vishay is The DNA of tech.™ Vishay Intertechnology, Inc. is a Fortune 1,000 Company listed on the NYSE (VSH). More on Vishay at www.Vishay.com.

The DNA of tech^® is a trademark of Vishay Intertechnology.

About Key Foundry

Headquartered in Korea, Key Foundry provides specialty Analog and Mixed-Signal foundry services for semiconductor companies to serve a wide range of applications in the consumer, communications, computing, automotive and industrial industries. With a broad range of technology portfolios and process nodes, Key Foundry has the flexibility and capability to meet the ever-evolving needs of semiconductor companies across the globe. Please visit https://www.key-foundry.com for more information.

Forward-Looking Statements

This press release contains certain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Such risks and uncertainties include, but are not limited to, the expected impact of the agreement between Vishay and Key Foundry on product leadtimes and capacity expansions, and the risks set forth under the heading "Risk Factors" in Vishay's Annual Report on Form 10-K for the year ended December 31, 2022, most recent Form 10-Q and other reports filed from time to time with the Securities and Exchange Commission. Vishay does not undertake any obligation to update any forward-looking statements to reflect events or circumstances occurring after the date of this press release.