Infineon launches €5 bn Smart Power Fab in Dresden, creating 1,000 jobs

Infineon Technologies AG opened its new Smart Power Fab in Dresden, Germany, several months ahead of schedule. The €5 billion plant is the largest single investment in the company's history and doubles Infineon’s production capacity at the site, making it the world’s largest factory for intelligent power semiconductors and analogue/mixed‑signal technologies. The fab will create 1,000 direct jobs and is designed to supply chips for AI data centres, electric vehicles, wind turbines, solar installations and other renewable‑energy applications.

The facility uses a digital twin for layout planning, AI‑assisted process clearance and a “One Virtual Fab” link with Infineon’s Villach plant in Austria to accelerate production ramp‑up. Company CEO Jochen Hanebeck highlighted the plant’s role in securing supply chains for key future technologies, while German Chancellor Friedrich Merz and other officials praised the project as a signal of Europe’s industrial and technological sovereignty.