11 Nov 2022 -

Shortages force EV makers to consider in-house chip production

tesla electric car

Many electric vehicle (EV) manufacturers are considering switching to in-house chip designs to reduce their reliance on the global semiconductor supply chain, with Gartner estimating that approximately half of the top 10 automotive OEMs will design their own chips by 2025.  

The automotive industry has typically relied on chips produced by third-party manufacturers such as NVIDIA or Texas Instruments. However, with automotive manufacturers such as Volkswagen believing that demand will outpace supply until 2024, a paradigm shift for the automotive industry may provide a better solution than simply weathering the storm, claims this article here.

The benefits of in-house chip design are numerous, with the greatest being the ability to design exactly to spec with maximum efficiency. GM’s autonomous driving unit Cruise, for example, produced a board with 70% less mass, 60% less power use, and 90% reduced cost thanks to in-house chip design. Using advanced materials such as silicon carbide or gallium nitride also opens the door to even greater performance, as highlighted by Tesla’s improved energy efficiency.

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

For more help with looking at supply chain options, contact Astute Electronics

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