Infineon Austria 2025: Innovation and efficiency in response to a challenging market environment

Business & Financial Press

Dec 16, 2025
  • Expectations for the fiscal year met, revenue almost stable at 4.695 billion euros
  • Performance affected by vacancy costs, currency effects and overall market weakness
  • Power supply solutions for AI data centers as a growth market
  • Quantum research as a strategic innovation focus and future field
  • Implementation of the efficiency improvement program STEP UP progressing according to plan
  • Position as Austria's strongest research company expanded, research ratio increased to 15 percent in 2025

Villach, Vienna, 16. December 2025 – Infineon Austria has further strengthened its role as a driver of innovation and impetus for the semiconductor industry in the 2025 financial year – despite a very challenging macroeconomic and geopolitical environment.

Sabine Herlitschka, CEO Infineon Technologies Austria: "Infineon Austria held its ground in a challenging economic environment and closed the 2025 fiscal year in line with expectations. We continue to consistently focus on innovation in combination with efficiency and continue to invest in research and development in Austria. The strong demand for energy-efficient solutions for AI data centers shaped 2025. With the further expansion of AI data centers, the requirements for powerful and efficient power supply solutions are also increasing. We will also benefit from this in the future."

The importance for Infineon extends far beyond data centers. Infineon is also excellently positioned for future growth and technology leadership in the future field of quantum computing. The close integration of research and production on site makes Infineon Austria a driver of innovation within the Group.

"Strengthening competitiveness is not just an empty phrase, it is essential. We are making good progress in improving our own cost structure, but bold steps are also needed in terms of location factors in Europe and Austria", says Sabine Herlitschka.

The Infineon Technologies Austria Group (Infineon Austria) closed the 2025 fiscal year (reporting date September 30, 2025) in line with expectations in a challenging market environment: Revenue remained almost stable at 4.695 billion euros (-1 percent), while earnings for the fiscal year totaled minus 48 million euros. The result was primarily influenced by high vacancy costs and unfavorable price and exchange rate developments. With total investments of 245 million euros (FY 2024: 322 million euros), which mainly went into the further development of new semiconductor materials and the expansion of 300 mm capacity at the Villach innovation factory, the company is underlining its innovative strength in Austria. Infineon Austria continued to invest heavily in research and development in 2025 despite the cyclical weakness of the market. R&D expenditure amounted to 721 million euros (FY 2024: 686 million euros), which corresponds to an increase of five percent and a research ratio of 15 percent (FY 2024: 14 percent).

Growth driver AI and future market quantum computing

While demand in traditional segments such as automotive, industrial and consumer electronics remained subdued worldwide in the past fiscal year, a clear growth driver has emerged: Artificial Intelligence. The Infineon Group has almost tripled its revenue from AI applications in the current year and is significantly raising its expectations for the 2026 fiscal year – to around 1.5 billion euros. Investments in AI infrastructures are increasing rapidly worldwide, and Infineon Austria is ideally positioned to benefit from this trend with its leading power solutions for AI data centers and technological milestones such as 300 mm GaN and 200 mm SiC.

At the same time, quantum computing is emerging as the next potentially disruptive technology. Infineon Austria is actively shaping the quantum age. With the expansion of the quantum laboratory in Villach and the targeted bundling of know-how in the field of quantum technologies, Infineon Austria is setting a strategic focus that goes far beyond day-to-day business – from the development of scalable quantum processors and the industrialization of quantum technologies to solutions for post-quantum cryptography. It is not least the close cooperation with international partners that makes Infineon Austria a pioneer in this future field. The combination of AI and quantum computing opens completely new possibilities for data-driven innovations and industrial applications.

Targeted investments, cost awareness and sustainable strengthening of operational structures

"Our business figures underline the resilience of our business model and our ability to set a strategic course for the future, even in an inconsistent market environment. Our focus for 2026 is on targeted investments in strategic growth areas while maintaining strict cost awareness. In addition, we are consistently working on the sustainable strengthening of our operational structures and are well on track with the implementation of our STEP UP structural improvement program announced in 2024", says Jörg Eisenschmied, CFO of Infineon Austria. The STEP UP program was announced Group-wide in spring 2024 and will run until the end of the 2026/27 fiscal year. The measures relate to the areas of manufacturing productivity, portfolio management, price quality and operating cost optimization. The number of employees decreased accordingly by around 3 percent in the 2025 fiscal year and amounted to 5,787 employees as of September 30, 2025 (FY 2024: 5,977), 2,506 of whom worked in research and development. At Infineon Austria, employees from 80 nations, a 60 percent share of academics and a stable 22 percent share of women contributed to creating an innovative and diverse working environment in the past fiscal year.

Infineon Austria: Global markets and local value creation

Infineon Austria is a driving force in far-reaching value creation systems with a high multiplier effect thanks to its intensive networking throughout Austria. According to a study by the Institute of Industrial Research (April 2025), each Infineon Austria employee secures almost three additional jobs in Austria, which secures a total of around 16,000 jobs in the domestic economy. Of the purchasing volume of almost one billion euros (979 million euros), 365 million will be spent in Austria, 178 million of which in Carinthia.

Technological leadership through the integration of research and production

"Thanks to the 'Integrated Device Manufacturing' strategy – the complete integration of research, development and production in-house – Infineon Austria can offer customized solutions for a wide range of applications and bring innovations to the market particularly quickly and reliably. The mastery of all three key materials, namely silicon, silicon carbide and gallium nitride, is a unique selling point that sustainably strengthens the competitiveness and innovative power of the location. Through consistent digitalization and intelligent automation, we ensure maximum efficiency and quality in production", says Thomas Reisinger, Chief Operations Officer of Infineon Technologies Austria

Technological breakthroughs from Austria – status and significance

With three world firsts in the past 15 months, Infineon Austria has played a key role in shaping the Group's success. The technological milestones shaped the 2025 innovation agenda, are already being deployed in first customer applications and industrial processes and create the basis for future growth. Technological excellence at Infineon Austria is the basis for innovative solutions in all relevant future markets: from the energy supply of AI data centers and robotics to quantum computing and renewable energies to mobility and Industry 4.0.

  • 300 mm gallium nitride (GaN) power wafers:
    In September 2024, the world's first 300 mm GaN wafers for power electronics from Austria were presented. The first test products were delivered to customers in October 2025, which will be used in particular in future markets such as AI data centers, robotics, renewable energies, mobility and industry.
  • Ultra-thin silicon power wafers (20 µm, 300 mm):
    In October 2024, Infineon was the first company in the world to present the production and processing of ultra-thin silicon power wafers. This technology is now qualified and available to customers and forms the basis for further advances in power electronics.
  • 200 mm silicon carbide (SiC) manufacturing:
    In February 2025, Infineon Austria started shipping the first products based on 200 mm SiC technology from Villach. This innovation is crucial for the next generation of high-performance applications – from electric vehicles to fast charging stations and industrial energy systems.

UWB-Lab Graz: Innovation center for wireless future technologies

With the opening of the Ultra-Wideband (UWB) application lab in Graz, Infineon 2025 has set another innovation milestone. The lab is a hub for the development and testing of state-of-the-art UWB technologies that enable precise localization, secure communication and new applications in the automotive, industrial, IoT and consumer sectors. Close cooperation with research partners and international customers strengthens Austria's role as a high-tech location.

Green hydrogen for production of 8 billion chips in Villach

Infineon pursues a comprehensive sustainability strategy that encompasses both global responsibility and local implementation. In May 2025, the Science Based Target Initiative (SBTi) officially confirmed Infineon Technologies AG's ambitious climate targets. The first electrolysis plant was put into operation at the Villach site in 2025, which supplies the entire semiconductor production with green hydrogen from renewable energies and thus makes an important contribution to local decarbonization. "With the new electrolysis plant, we are securing our hydrogen supply and making ourselves independent of fossil sources. By using green hydrogen and certified green electricity, we are reducing CO2 emissions and covering the entire demand for production in Villach," says Thomas Reisinger, Chief Operations Officer at Infineon Technologies Austria. A total of 8 billion chips were produced in Villach in the 2025 fiscal year (FY 2024: 7.5 billion). With this annual production from Villach, around 14 million tons of CO2 will be saved in the applications over their useful life. This corresponds to one fifth (21 percent) of Austria's CO2 emissions in 2023.

European champion in manufacturing, sustainability as a guiding principle of entrepreneurial action

Infineon Austria was also the first Austrian company to receive the prestigious Industrial Excellence Award Europe in October 2025 – in recognition of its innovative strength, quality and excellence in manufacturing and the company's sustainable approach. Infineon Austria also implements numerous other sustainability initiatives, including in the areas of biodiversity and social issues. Around 6,200 trees and shrubs were planted at the Villach site to promote biodiversity and preserve natural habitats. With the Infineon Education Fund, which has existed since 2020, Infineon Austria makes an important contribution to supporting disadvantaged children and young people. In 2025, a total of 105,000 euros was made available for this purpose, supporting 110 children and young people in the Caritas learning cafés in Villach, Spittal/Drau, Graz and Mürzzuschlag.

Cooperation, startups and securing skilled workers

Innovation at Infineon Austria is created through openness and cooperation – from basic research to startups. The company works with a large number of universities, research institutions and partners in Austria and abroad. With around 200 collaborations, a new record number was reached in 2025. In the 2025 fiscal year, the long-standing partnerships with the Politecnico di Milano and the University of Klagenfurt in particular were further strengthened through new strategic framework agreements. Both collaborations specifically address key technologies such as artificial intelligence, digital health and robotics. This innovation ecosystem is complemented by the Startup Challenge, which promotes entrepreneurial thinking and new ideas. It offers young founders and innovative teams the opportunity to work together with Infineon on pioneering solutions and provide new impetus for the semiconductor industry. With targeted training initiatives and the expansion of the apprentice campus with 138 apprentices (apprentices FY 2024: 118), around 27 percent of whom are women, Infineon Austria is investing in the specialists of tomorrow.

PHOTO download Annual press conference 2025: APA image gallery

©Infineon Austria/APA Fotoservice/Hörmandinger

Infineon Technologies Austria AG is a subsidiary of Infineon Technologies AG, a global semiconductor leader in power systems and IoT. Semiconductors are essential for mastering the energy-related challenges of our time and helping to shape the digital transformation. Infineon's microelectronics drive decarbonization and digitalization and enable groundbreaking solutions for green and efficient energy, clean and safe mobility as well as a smart and secure IoT.


Infineon Austria pools competencies for research and development, production as well as global business responsibility. The head office is in Villach, with further branches in Graz, Klagenfurt, Linz, Innsbruck and Vienna. With 5,787 employees (including around 2,500 in research and development) from 80 nations, the company generated revenue of EUR 4.7 billion in the 2025 fiscal year (ending 30 September). With research expenditure of 721 million euros, Infineon Austria is the strongest research company in Austria.

Further information at www.infineon.com/austria

Press Photos

Annual Press Conference Infineon Austria 2025 in Vienna

Annual Press Conference Infineon Austria 2025 in Vienna

f.l.t.r.: Thomas Reisinger, COO Infineon Austria, Jörg Eisenschmied, CFO Infineon Austria, Sabine Herlitschka, CEO Infineon Austria

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Sabine Herlitschka

Sabine Herlitschka

Sabine Herlitschka, CEO Infineon Austria

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Quantum Processor Chip

Quantum Processor Chip

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Infineon clean room in Villach

Infineon clean room in Villach

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Si-ultra thin wafer, GaN-wafer, SiC-wafer

Si-ultra thin wafer, GaN-wafer, SiC-wafer

below: 300-mm-Si-ultra thin wafer (20 micrometer), above left: 300-mm-GaN-wafer, above right: 200-mm-SiC-wafer

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AI server room

AI server room

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Research and Development Infineon Villach

Research and Development Infineon Villach

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Infineon Austria Villach Site

Infineon Austria Villach Site

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Alexandra Wachschuetz

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