GlobalFoundries (GF) has signed a technology licensing agreement with TSMC for 650 V and 80 V gallium nitride (GaN) technologies, aimed at accelerating its next-generation power devices designed for data centers, industrial environments, and automotive applications. The company will manufacture these products at its Burlington plant (Vermont), adding GaN capacity in the U.S. to serve a global customer base.
Why it matters: increased efficiency and power density
As traditional silicon CMOS approaches its performance limits in power applications, GaN has become the preferred alternative to enhance efficiency, density, and compactness. In converters, fast chargers, electric motor control, or server power supplies, GaN reduces switching losses and enables more compact architectures with higher power density, a crucial factor in data centers and electric vehicles. With this license, GF aims to shorten development timelines and bring to market GaN devices that are ready for mission-critical applications.
What the agreement includes (and the timeline)
- Technological scope: GaN processes of 650 V (high voltage) and 80 V (low/medium voltage), targeting electric vehicles,
- Location: qualification and industrialization at the Burlington, Vermont plant, where GF already has experience with high-voltage GaN-on-Silicon.
- Milestones: development by early 2026 and production start by late 2026, with a ramp-up designed for clients requiring volume and automotive/industrial quality.
“By leveraging this proven technology, we will accelerate the development of our next-generation GaN chips and deliver differentiated solutions for critical applications, from data centers to automotive and industrial markets,” said Téa Williams, senior vice president of power business at GF.
The strategic piece: “Made in USA” GaN licensed from TSMC
This move aligns with industry trends: licensing agreements that combine established process IP with local manufacturing. For GF, this will mean:
- Faster time-to-market: leveraging a mature technological base reduces process iterations and speeds up qualification.
- Local capacity: supply in the U.S. for markets valuing regional supply chains and compliance (data centers, aerospace, automotive).
- Expanded GaN portfolio: 650 V products for primary stages and 80 V devices for low-voltage or point-of-load conversion applications.
For TSMC, the agreement monetizes its GaN IP and extends its footprint through a third-party partner in a market where demand for power devices is rapidly growing due to AI, electric vehicles, and industrial electrification.
Expected products: from servers to electric vehicles
While the announcement does not specify die sizes or performance metrics, based on voltage classifications and target markets, we can anticipate:
- 650 V: GaN transistors for PFC stages and isolated converters in data center PSUs, charging infrastructure, and inverters (renewables/industrial).
- 80 V: devices for high-efficiency DC-DC converters on server boards, motor drives, and embedded power electronics (vehicles, robotics).
- Ruggedization: GF emphasizes a holistic approach to reliability (process, device, and application), essential for automotive and industrial environments.
Implications for data centers and the AI wave
The AI boom has increased the value of every watt in the IT supply chain: from the AC input to the VRM powering GPUs/CPUs. Adopting GaN in primary stages and DC-DC converters results in lower losses, less heat, and denser sources, enabling more powerful racks in the same volume. For operators, this translates into improved PUE and additional margin for increasing thermal densities.
Implications for automotive and renewables
- Automotive: in electric vehicles, GaN appears in on-board chargers, auxiliary conversion, and gradually in intermediate stage inverters, with the goal of reducing weight and improving range via higher efficiency.
- Renewables/industrial: more compact converters and inverters with higher density simplify electric panels, reducing footprint and integration costs.
Risks and next steps
Like any process transfer, qualification of a new process line presents challenges: yield, variability, and long-term reliability (testing HTRB, HTOL, TC, etc.). GF’s experience with GaN at Burlington provides an advantage that can accelerate ramp-up. If the schedule stays on track, the first commercial products should be available by late 2026.
Key takeaways
- What happened: GlobalFoundries licensed GaN technology of 650 V and 80 V from TSMC.
- Where manufacturing will happen: Burlington, Vermont, with GaN capacity in the U.S. for global customers.
- Timeline: development early 2026, production late 2026.
- Target markets: data centers, industry, automotive, renewables, and fast charging.
- Why GaN: greater efficiency and power density where silicon CMOS no longer meets expectations.
Frequently Asked Questions
What advantages does GaN offer over silicon in data center power supplies?
Primarily lower switching losses, enabling higher switching frequencies, smaller magnetic components, greater power density, and consequently improved efficiency with less heat per rack.
What does “GaN-on-Silicon” mean?
It is a heterostructure where GaN is deposited on a silicon wafer. Silicon reduces cost and allows for larger diameters compared to GaN-on-SiC, though each approach has its niche depending on voltage and losses targets.
Why manufacture in the U.S. if the IP belongs to TSMC?
To provide proximity to customers (timelines, logistics, compliance) and geographical diversification of power capacity, while maintaining a mature technological base through licensing.
When might we see the first commercial modules?
If process qualification and ramp-up follow plan, GF expects products by late 2026 for data centers, industrial, and automotive.
Sources:
— GlobalFoundries, official press release: “GlobalFoundries Licenses GaN Technology from TSMC to Accelerate U.S.-Manufactured Power Portfolio for Datacenter, Industrial and Automotive Customers,” 11/10/2025. Press release: Globenewswire