The 400 million euro plan announced at the end of 2021 by Bosch to strengthen the production capacities of its semiconductor factories will therefore not be enough. The European giant has just announced that it put an additional 250 million euros on the table for increase its chip production capacities.
250 million euros to expand the Reutlingen foundry
Bosch wants to strengthen the production capacities of its plant in Reutlingen, Germany. Still with the aim of combating the global shortage of chips, the German giant plans to expand its semiconductor manufacturing plant. By 2025, 250 million euros will be invested in the creation of new production spaces. Bosch specifies in its press release that it will thus have “the firepower needed to meet the ever-increasing demand for chips used in mobility and IoT applications”.
The European Commission will inject 292 million euros into AI, cybersecurity and blockchain
Dr. Stefan Hartung, Chairman of the Board of Directors of Bosch, explains that: “We are systematically expanding our semiconductor manufacturing capacity in Reutlingen. This new investment will not only strengthen our competitive position, but will also benefit our customers and help tackle the crisis in the semiconductor supply chain.”. In concrete terms, this new investment must allow the construction of an extension of an additional 3,600 square meters ultra-modern rooms. The commissioning of this new production area is scheduled for 2025.
An improved manufacturing process thanks to artificial intelligence
Markus Heyn, also a member of Bosch’s board of directors, points out that “Bosch is already a leading chipmaker for automotive applications. With this new investment, we intend to consolidate this position”. Like semiconductors from Bosch, like many others, are made of silicon carbide, the manufacturing process requires absolute clarity. Silicon is found in sand and must be refined before it can be used for manufacturing. That’s why Bosch plans to make new “clean rooms”.
As mentioned, the Reutlingen foundry focuses on the production of chips on wafers from 150 to 200 mm and that of Dresden on the production of chips on wafers of 300 mm. Markus Heyn clarifies that “Artificial intelligence technologies combined with connectivity have helped us achieve data-driven continuous improvement in manufacturing processes and thus produce better chips”. He explains in particular that software has been developed to automate defect classification. Bosch also uses artificial intelligence to improve material flows. So many new technologies to improve its production capacities.