In order to win the challenge of smart cars and autonomous driving in the future, Bosch has increased its investment in chips. Recently, Bosch announced that it will spend $1.1 billion to build a second fab in Dresden, Germany, which will double the production of Bosch’s chips from 2021.

In 2017, Bosch announced an investment of US$1.1 billion to build a fab in Dresden, Germany. After the plant was built, it used 12-inch diameter wafers to produce semiconductor chips. But obviously, with the rapid growth of the market, the annual output of the factory can no longer meet the needs of customers.

As we all know, the chip is the core component of autonomous driving and electrification. With the increase of smart driving and electric penetration, the demand for chips in the global auto market is growing rapidly. Dr. Volkmar Denner, chairman of the Bosch board of directors, said that by increasing semiconductor production, Bosch can strengthen its competitiveness in the future market.

In recent years, Qualcomm and other chip giants have entered the automotive industry and are targeting the autonomous driving control chip market. Bosch has also made many layouts and investments in the chip field. It is understood that Bosch’s current chip products include ECU controller chips, pressure and ambient temperature sensors and many other types of chips, with more than 1,000 patents in chip manufacturing.