LAS VEGAS — The biggest single investment in Robert Bosch's history is taking place now at the supplier's semiconductor business in Dresden, Germany. The $1.1 billion spend to construct its second wafer fabricating plant will enable a doubling of output of Bosch chips starting in 2021.
Didn't know the world's largest auto supplier was also in the semiconductor business?
Bosch would not be upset to hear that. While the company sells "some" of its output to a few customers around the world, that's not the main purpose of the business unit.
Bosch's chip- and sensor-making arm and the massive expansion it is now undertaking are really all about Bosch's internal needs: The company makes so many products these days that are semiconductor-based that it needs more chip capacity. How many more?
"Hundreds of millions," just for the automotive sector, Jens Knut Fabrowsky, executive vice president for Bosch Automotive Electronics, told Automotive News during this month's CES here.