German engineering company Bosch has received $225 million in direct funding from the US government’s CHIPS Program Office.. The money will be used by Bosch to support the $2 billion redevelopment of its facility in Roseville, California, where the company intends to manufacture silicon carbide (SiC) chips..
Bosch’s SiC facility in Roseville, California – Bosch. Bosch took over the Roseville site in August 2023 after acquiring the assets of US chipmaker TSI Semiconductors. In order to upgrade the facility, the company has already developed new cleanroom space and deployed a “high-tech manufacturing line” for the production of SiC chips..
Silicon carbide is a synthetically produced crystalline compound of silicon and carbon. The material provides several advantages over conventional silicon for power applications, including better thermal conductivity, higher switching speeds, and lower dissipation, making it particularly suitable for the manufacturing of high-voltage power devices..
According to Bosch, the company has already delivered more than 60 million SiC chips globally since its first-generation hardware went into production in 2021.. In addition to announcing the funding agreement, Bosch said it has already begun sample production at the facility and is on track to produce its first commercial production chips on 200-millimeter wafers in 2026.. “The start of sample production and our agreement with the Department of Commerce is a milestone in providing our local customers with what they have requested – localized US-based manufacturing,” said Paul Thomas, president and CEO of Bosch in North America. “The production of silicon carbide chips in the United States helps to support supply chain resiliency and capitalizes on the expertise of US manufacturing associates to bring this technology to the US market in a timely manner.”.
The Roseville site represents Bosch’s first semiconductor production line in the US, and the company said it plans to invest up to $7.5 billion over the next five years across its US operations.. In Europe, Bosch is one of three European companies that own a ten percent stake in ESMC (European Semiconductor Manufacturing Company), TSMC’s first European chip fab in Dresden, Germany..
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