August 15, 2022
Bosch will invest more than 400 million euros in chip production in Germany, Malaysia next year


German technology conglomerate Robert Bosch has earmarked more than 400 million euros (about Rs 3,490 crore) to invest in microchip production in Germany and Malaysia next year to reduce global shortages.

A shortage of chips for automakers has disrupted vehicle production around the world, with suppliers in Asia and the United States relying exclusively on chips from only a few manufacturers.

The largest part of Bosch’s budget will be spent on the rapid expansion of the 300-millimeter wafers of Germany’s Dresden factory, which the group inaugurated in June, it said in a statement on Friday.

About 50 million euros (about Rs 436 crore) will be invested at a site manufacturing 200 mm wafers in Reutlingen near Stuttgart, said the company, which also manufactures car parts and factory automation systems.

Without specifying the level of investment, the construction of a semiconductor test facility in Penang, Malaysia, would be another project to be funded.

Intel, the largest maker of processor chips for PCs and data centers, said last month that it could invest up to 80 billion euros (about Rs 698 crore) in Europe over the next decade.

© Thomson Reuters 2021


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