Bosch opens new German micro-chip plant

June 08, 2021
Bosch opens new German micro-chip plant
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At a time when the global economy is experiencing a serious shortage of semi conductors, Robert Bosch has opened a new 1 billion euro chip plant in Dresden Germany. It is a record investment by the leading automotive supplier aimed at making the company a major player in the supply of components for electric vehicles and self-driving cars.

The timing of the plant coming into production will also be a boost to Bosch’s ability to serve carmakers directly with semi conductor supply for it components.

“For Bosch, semiconductors are a core technology, and it is strategically important to develop and manufacture them ourselves. In Dresden, with the help of artificial intelligence, we will take semiconductor manufacturing to the next level,” said Dr. Volkmar Denner, chairman of the board of management of Robert Bosch GmbH. “This is our first AIoT factory: fully connected, data-driven, and self-optimizing right from the start.”

Production in Dresden will start as early as July, six months earlier than planned. From that time on, semiconductors made in the new plant will be installed in Bosch power tools. For automotive customers, chip production will start in September, three months earlier than planned.
 
In 2016, every new vehicle worldwide had an average of more than nine Bosch chips on board, in devices such as the airbag control unit, the braking system, and the park assist system. In 2019, this figure was already more than 17. In the years to come, experts expect to see the strongest growth in driver assistance systems, infotainment, and the electrification of the powertrain. With its wafer fab in Dresden, Bosch is responding to the increased demand for semiconductors.

“Semiconductors are the building blocks of progress. Electronic components equipped with chips from Dresden will make applications such as automated and resource-conserving driving possible, as well as the best possible occupant protection,” said Harald Kroeger, member of the board of management of Robert Bosch GmbH.

Harald added, “Over a vehicle’s service life, chips are exposed to strong vibrations and extreme temperatures that range from far below freezing to far above the boiling point of water. In other words, chips have to meet higher standards of reliability. This means that the development of automotive semiconductors is more complicated than in other applications. This requires specialist expertise, and Bosch has amassed such expertise over the course of decades. Its developers and engineers understand the physical principles behind microelectronic automotive components. This opens up the possibility of Seite 5 von 6 complete systems that prevent accidents and protect the environment – again, the company is a one-stop shop for the development and manufacture of such systems.”

 
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