Bosch is going to build a $1.1 billion semiconductor plant to keep up with demand for its autonomous vehicles.The factory will be based out of Dresden, Germany, and will produce chips like the one below for use in smart homes, self-driving vehicles and internet-linked infrastructure in 2021, according to a statement from the company. The plant plans to create 700 jobs once the construction is completed in 2019.
“Strengthening semiconductor expertise in Germany, and thus in Europe as well, is an investment in a key technology of the future, and thus a very important step toward preserving and enhancing competitiveness, also of Germany as an industrial location,” Brigitte Zypries, the German Federal Minister for Economic Affairs and Energy, said.
Bosch is well-known as a manufacturer of braking systems and combustion engines, as well as a software development. The company is now investing in newer technologies to adapt to the ever-changing way people approach driving.
Its chips have come in the form of application-specific integrated circuits (ASICs), power semiconductors and micro-electro-mechanical systems (MEMS). These products have yielded great success, with the company saying that “In 2016, every car rolling off the production lines worldwide had on average more than nine Bosch chips on board.”
The company has also been swapping strategies with NVIDIA in the great race for autonomous vehicles. The two have been working closely on an artificial intelligence supercomputer designed for the self-driving car industry.
EV titan Tesla uses a supercomputer made by NVIDIA on Model S, Model X and the upcoming Model 3 vehicles, so some may speculate that Bosch and Tesla could eventually be working together.