The investment will be made in the Roseville site to upgrade TSI Semiconductors' manufacturing facilities
TSI Semiconductors to be acquired by Bosch. (Credit: Robert Bosch GmbH)
Robert Bosch has announced plans to acquire US chipmaker TSI Semiconductors and invest over $1.5bn in the semiconductor business for electromobility over the next few years.
The financial terms of the deal were not disclosed by the German engineering and technology company.
Based in Roseville, California, TSI Semiconductors is a foundry for application-specific integrated circuits (ASICs).
With a workforce of 250, the company presently develops and manufactures large volumes of chips on 200mm silicon wafers for applications in the mobility, energy, telecommunications, and life sciences industries.
Bosch’s investment is expected to be made in the Roseville site to upgrade TSI Semiconductors’ manufacturing facilities.
Following a retooling phase, the first silicon carbide (SiC) chips will be made on 200mm wafers in a facility with around 10,000m2 of clean room area, commencing in 2026.
According to the German company, the Roseville site will be its third pillar for semiconductor business following Reutlingen and Dresden in Germany.
Bosch aims to have an average of 25 of its chips integrated in every new vehicle by 2025.
The company also expects to bolster its semiconductor business and significantly expand its global portfolio of SiC chips by the end of 2030.
Bosch management board chairman Stefan Hartung said: “With the acquisition of TSI Semiconductors, we are establishing manufacturing capacity for SiC chips in an important sales market while also increasing our semiconductor manufacturing, globally.
“The existing clean-room facilities and expert personnel in Roseville will allow us to manufacture SiC chips for electromobility on an even larger scale.”
Bosch’s acquisition of TSI Semiconductors is subject to regulatory approval.
In July 2022, the German engineering and technology company announced plans to invest an additional €3bn through 2026 in the group’s semiconductor technology and the systems based on it.