U.S. corporation pours billions - the competition for automotive chips for electric vehicles persists
Electrifying the Future: The Rise of Silicon Carbide Chips
Get ready to rev up electric mobility with silicon carbide (SiC) semiconductors! These puppies are the next big thing, and that's why companies are throwing millions, even billions, at this technology. One of these companies is Wolfspeed, an American chipmaker, who's now dropping around two billion euros for a new factory in the Saarland region.
But what's the big deal with SiC? Well, my friend, these chips are game changers for electric vehicles (EVs), offering a longer range and faster charging times. Oh, and Wolfspeed is a pro at SiC tech, so they're the ones to watch.
However, there's a tiny bump in the road – the factory's construction still needs the green light from the state. Once that happens, it's full steam ahead!
One of Wolfspeed’s loyal customers is none other than Mercedes, the German automaker. The two have joined forces to supply Mercedes with SiC semiconductors (seems like they're going all-in on the EV revolution).
Electric Power - Now and Beyond
SiC chips are going to take electric mobility to a whole new level. Besides Wolfspeed, other big companies like Infineon, STMicroelectronics, and Taiwan Semiconductor Manufacturing Company (TSMC) are also diving headfirst into this tech. All four companies are members of the Börse Online Chip Power Index, so investors can hop on board and ride the wave of these semiconductor stocks' growth.
Want to learn more? Check this out!
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Update: Construction of the factory in Ensdorf, Saarland, is projected to commence after 2025[2], pushing back earlier timelines. However, this factory, once completed, will claim the title of the world's largest SiC fab[2].
Wolfspeed's partnership with Mercedes for EV technology isn't specifically discussed in the latest updates, but their SiC semiconductors are crucial for EV power electronics, hinting at alignment with Mercedes' electrification plans. Delays in factory construction could potentially impact supply timelines for automotive partners, but no specific disruptions have been confirmed[1][2].
1.StTMicroelectronics, a significant player in the technology industry, is also investing heavily in silicon carbide technology, joining the likes of Infineon, Taiwan Semiconductor Manufacturing Company (TSMC), and the SiC specialists, Wolfspeed.
2.In an effort to boost their electric vehicle (EV) technology, Mercedes, the German automaker, has partnered with Wolfspeed, one of the leading companies in silicon carbide technology.
3.For those interested in investing in the growth of semiconductor stocks, four companies - Wolfspeed, Infineon, STMicroelectronics, and Taiwan Semiconductor Manufacturing Company (TSMC) - are all members of the Börse Online Chip Power Index.
4.The construction of Wolfspeed's new factory in the Saarland region was initially planned to begin before 2025, but recent updates indicate that the project will start after 2025, making it the world's largest SiC fab upon completion [2].
5.Despite delays in the construction of its factory, Wolfspeed's SiC semiconductors continue to be crucial for EV power electronics, suggesting an ongoing partnership with automotive partners like Mercedes in the electrification plans.
