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Vitesco and Onsemi sign long-term SiC agreement


Vitesco Technologies is securing SiC supply capacity worth $1.9 billion

Vitesco Technologies and Onsemi have announced a 10-year long-term supply agreement worth $1.9 billion (€1.75 billion) for SiC products to enable Vitesco ’ ramp in electrification technologies.

Vitesco, an international manufacturer of drive technologies and electrification solutions, is providing an investment of $250 million (€230 million) to Onsemi for new equipment for SiC boule growth, wafer production and epitaxy to secure access to SiC capacity.

The equipment will be used to produce SiC wafers to support Vitesco ’ growing SiC demand. In parallel, Onsemi, a leader in intelligent power and sensing technologies, will continue to invest substantially into end-to-end SiC supply chain.

In addition, Vitesco and Onsemi will collaborate on optimized customer solutions for Vitesco . Onsemi’s highly efficient EliteSiC MOSFETs will be used by Vitesco to execute the recent orders as well as future projects for traction inverters and electric vehicle drives.

“Energy-efficient silicon carbide power semiconductors are at the beginning of a big surge in demand. That is why it is imperative for us to get access to the complete SiC value chain together with Onsemi. With this investment we have a secure supply of a key technology over the next ten years and beyond,” said Andreas Wolf, CEO of Vitesco .

Hassane El-Khoury, president and CEO of Onsemi, commented: “This collaboration will enable Vitesco to address their customers’ demand for longer range and higher performance in electric vehicles. Onsemi provides superior performance and quality, supply assurance, and manufacturing at scale of SiC technologies based on decades of experience in manufacturing power semiconductor products in high volume automotive applications.”

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