Bosch is the new star in Silicon Saxony microchip cluster 04.06.2021

Chipmakers in Dresden, Germany, are reacting to soaring inquire for semiconductors by increasing their production products and companies in what’s come to be known as Silicon Saxony. Bosch is the most contemporary to connect up for the frenzy on the bottom.

Engineering and expertise firm Bosch on Monday added a significant particular person to its firmament with the opening of a new semiconductor plant elegant north of Dresden, in the German pronounce of Saxony. 

The agency has pumped about €1 billion ($1.2 billion) into its new spot, marking the most appealing single investment in its 130-365 days ancient previous.

German Economy Minister Peter Altmaier said “a new microelectronics generation is being usered in. “The investment in the plant sends a clear signal that Germany and Saxony are future-oriented and symbolizes the modern clout of the Silicon Saxony cluster,” Altmaier significant.

Construction work kicked off in the summertime of 2018 on an condominium as mountainous as 14 soccer fields. As early as ideal November, some classic parts of the expertise already in discipline carried out an automatic manufacturing cycle for the first time.

“Our semiconductor facility in Dresden is Bosch’s first AIoT manufacturing facility, combining synthetic intelligence (AI) with the Internet of Things (IoT),” Bosch spokesperson Annett Fischer suggested DW. “We are in a position to thus rely on a true records-based exclusively enchancment of production, environment new Enterprise 4.0 requirements.”

When the semiconductor fabrication plant (frequently known as a fab, as soon as in a while foundry) reaches its fat ability outdated to the conclude of 2021, it be expected to provide jobs for up to 700 folks who will adjust and monitor production as well to connect the machinery. Except then, several microchip and constructed-in circuit prototypes can even simply restful be subjected to additional broad testing outdated to they might be able to even be delivered to customers.

Bosch's fab in Dresden

Bosch is the most contemporary renowned firm to switch into Silicon Saxony

“The entire machines — approximately 100 — and installations in the effectively-organized room are linked electronically and are zigzag up to your entire infrastructure through an data center,” Annett Fischer explained. “For that, some 300 kilometers (186 miles) of data lines wanted to be laid.”

The silicon chips from Bosch are puny, but they possess very advanced circuits that can permit several hundreds and hundreds of individual digital functions. The firm’s focal level is on the production of automobile chips, with the automobile trade in Europe having experienced a dire shortage of such semiconductors because the coronavirus pandemic keeps disrupting worldwide provide chains.

Silicon Saxony on the march

Bosch’s new plant will add to the bigger Dresden condominium’s repute as one of Europe’s most significant microelectronics hubs. It has come to be known as Silicon Saxony in a nod to its powerful bigger brother, Silicon Valley, in the US.

Silicon Saxony is also the title of an trade association on the bottom. Its managing director, Frank Bösenberg, suggested the DPA news agency earlier this month that the Dresden semiconductor chip expertise cluster had “seen true growth since 2009,” pointing out some 2,300 companies with roughly 60,000 workers energetic in the trade in Saxony and generating revenues of some €16.5 billion ideal 365 days.

Robots in Bosch's Dresden plant

Robots are significant helpers in Bosch’s production of wafers and microchips in its Dresden plant

Several mountainous gamers already on the bottom are in the meantime planning to make investments a ways more to boost production in accordance to the rising inquire for chips.

US chipmaker Globalfoundries, which absorbed the former AMD Saxony in Dresden, has said it be fascinating to spend €400 million on increasing its effectively-organized rooms. The agency boasts an output of 400,000 wafers a 365 days elegant now and hopes to double this rapidly.

Further investments of €1.1 billion in its Dresden products and companies over the next 5 years comprise been introduced by Infineon, a Munich-based exclusively listed DAX firm and but any other world chief in microelectronics.

In addition, Silicon Saxony executives hope semiconductor massive Intel can even simply also join the Dresden cluster because the firm is in the meantime in search of an very superior European discipline to make investments billions of greenbacks.

“We are among Europe’s most appealing semiconductor-producing areas,” Silicon Saxony chief Frank Bösenberg suggested German public broadcaster MDR. “This focus of same trade gamers can even simply restful give us a competitive edge.”

The Dresden microelectronics cluster is one thing of an outlier in Europe, with the dependable fundamental competitor being the bigger Grenoble condominium in France with a same density of chipmakers, engineering companies and analysis establishments.

On the elegant note?

There might perchance be been powerful talk lately of the European Union in search of to became less reckoning on North American and Asian microchip deliveries, and Brussels is fascinating to shell out billions to acquire the job performed by co-funding more European production flowers.

Jan-Peter Kleinhans, venture director Technology and Geopolitics at the contemplate tank Stiftung Neue Verantwortung (SNV) in Berlin suggested DW that policymakers in the EU imagine building more fabs here would as soon as and for all attach away from future provide lines and compose the bloc loads less reckoning on chips from in a international nation.

Globalfoundries clean room in Dresden

Globalfoundries has played a fundamental section in boosting Silicon Saxony’s repute as a European hub for chip production

“Nonetheless this doesn’t figure out as even TSMC in Taiwan (Taiwan Semiconductor Manufacturing Firm) can no longer construct any chips completely on its comprise,” he said. “The agency depends on a pleasant network of suppliers and desires production tools from the US, Japan and the Netherlands, chemical substances from South Korea and Japan as well to silicon from in a international nation — so it could per chance perchance per chance be naive to imagine that we’ll be in actuality self reliant elegant due to now we comprise the fabs.”

Kleinhans added that he did on no fable intend to attenuate the significance of the most most contemporary investments in Silicon Saxony and Bosch’s new plant in explicit, emphasizing that “Bosch can rightly state it be now bought a pronounce-of-the-art fab for energy electronics in Dresden for the automobile portfolio it be been that specialise in.”

He warned, despite the undeniable truth that, that in a good deal of chip sectors which can be also significant for the EU financial system, European producers had been ill-positioned and had fallen in the abet of in terms of manufacturing processes and chip fetch.

“We are in a position to no longer retain a candle to the US and a good deal of rivals when it involves processors for smartphones, laptops or cloud datacenters — nearly none of those come from European gamers,” Kleinhans significant.

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