NXP is winding down its 5G radio power business and plans to close its Chandler, Arizona-based Echo Fab, ending a short-lived foray into GaN-based power amplifiers for 5G base stations. The Dutch company told news outlet Light Reading that ongoing weakness in 5G infrastructure demand and “no outlook for recovery” are the main drivers behind the move.
Heralded as “the world’s most advanced” fab of its kind at the opening in 2020, the Echo facility took up gallium nitride as a successor to LDMOS technology used widely in 4G. But falling operator investment and shrinking 5G rollouts hit the segment hard. NXP’s revenues from communication infrastructure have dropped by a quarter this year, after a nearly 20 percent decline in 2024.
The fab will produce its final GaN wafers in Q1 2027, with a transition period to support customers. NXP has said that the closure affects only the RF power product line, and not the broader Chandler site, which continues to manufacture other semiconductors. However, the firm is on a long-term trajectory to phase out all 200mm facilities.
