Photo: Toyota
The chip shortage isn’t going anywhere for now, so companies in all industries out there are still looking into ways to reduce the disruptions caused to their supply chains, not only in the short term but in the long term as well.
One way to produce a chip inventory large enough to satisfy the current demand is by investing in capacity, and this is exactly what most semiconductor manufacturers are trying to do these days. Of course, such a plan takes time, and the expanded capacity can’t come into effect overnight.
But UMC, one of the largest chip makers in the world, has recently announced a new ambitious plan whose purpose is to reduce the burden on the automotive market, at least in Japan. The company has joined forces with Denso specifically to set up a chip production facility in Japan, with the operations to kick off in the first half of 2023.
The new plant will be focused on insulated gate bipolar transistor, also known as IGBT, lines that will run on 300mm wafers, the two companies announced.
IGBTs are mostly used in electric cars, as they serve as power switches in inverters specifically to convert DC and AC currents. In other words, the local EV market is very likely to benefit from the new deal, especially as the number of chips used on zero-emission cars is continuously growing because of the addition of new-gen capabilities.
On the other hand, one of the biggest winners of this collaboration is none other than Toyota. The Japanese carmaker not only invests aggressively in EVs, but it’s also one of the biggest names backing car supplier Denso.
But as said, the actual manufacturing of IGBTs at the new facility wouldn’t kick off earlier than 2023, so the Japanese automotive market still has more than half a year of struggle with the current super-constrained chip inventory.
But UMC, one of the largest chip makers in the world, has recently announced a new ambitious plan whose purpose is to reduce the burden on the automotive market, at least in Japan. The company has joined forces with Denso specifically to set up a chip production facility in Japan, with the operations to kick off in the first half of 2023.
The new plant will be focused on insulated gate bipolar transistor, also known as IGBT, lines that will run on 300mm wafers, the two companies announced.
IGBTs are mostly used in electric cars, as they serve as power switches in inverters specifically to convert DC and AC currents. In other words, the local EV market is very likely to benefit from the new deal, especially as the number of chips used on zero-emission cars is continuously growing because of the addition of new-gen capabilities.
On the other hand, one of the biggest winners of this collaboration is none other than Toyota. The Japanese carmaker not only invests aggressively in EVs, but it’s also one of the biggest names backing car supplier Denso.
But as said, the actual manufacturing of IGBTs at the new facility wouldn’t kick off earlier than 2023, so the Japanese automotive market still has more than half a year of struggle with the current super-constrained chip inventory.
Google News