Bosch to buy TSI Semiconductors for $1.5 billion

Bosch has announced that it will acquire US chipmaker TSI Semiconductors for $1.5 billion. Commenting on the investment, US Vice President Kamala Harris said, “This investment will lower production costs, strengthen our electric vehicle supply chain, and create economic opportunity for working families in California.” German engineering company Bosch announced that it will acquire US chipmaker TSI Semiconductors in order to expand its semiconductor business with silicon carbide chips (SiC). The acquisition includes a $1.5 billion investment in TSI Semiconductors’ production facilities in Roseville, California, to be made over several years. The first chips, starting in 2026, will be produced as 200-millimeter models based on silicon carbide. News of this investment that more chips will be produced in the US was welcomed in the automotive world, one of the sectors most affected by the global semiconductor supply problem that started with the Covid-19 pandemic. The chip supply shortage had been exacerbated by the increase in demand for electronic products, especially during the pandemic, when people stayed home, and the shift to electric vehicles in the automotive sector. The silicon carbide chips (SiC), which will be produced in Bosch’s new factory, are also a popular product among automakers. The company announced that the SiC market is growing by an average of 30 percent annually, and that this is partly due to the longer range and more efficient charging offered by electric vehicles. Thanks to these chips, vehicles experience up to 50 percent less energy loss and less maintenance. US Vice President Kamala Harris said in a statement on the subject, “This investment will reduce production costs, strengthen our electric vehicle supply chain, help rebuild American manufacturing, and create economic opportunities for California’s working families.”