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Supply Chain Summit: New fabs to boost TI's output for automotive

Jay Liu, Taipei; Jessie Shen, DIGITIMES Asia 0

Credit: DIGITIMES

Texas Instruments (TI) will have two new 300mm fabs come online between the end of 2022 and early 2023, with the additional output poised to meet chip demand coming from the automotive electronics market - seen as the next major growth driver of the analog chip vendor, according to market sources.

The focus of TI's capacity expansion projects indicates the analog IDM is stepping up its deployment in the automotive electronics field, the sources indicated. TI's latest financial data show that sales generated from the automotive electronics sector account for about 21% of company revenue.

TI presented its views of the major trends in the car market during the DIGITIMES-Asia hosted Supply Chain Summit. The market penetration of hybrid electric vehicles (HEV) and full electric vehicles (EV) will be rising over the next several years, reaching around 30% by 2025. Increased HEV/EV penetration will boost the use of power components.

Advanced driver assistance systems (ADAS) is another area where TI is looking to grow business with its camera, radar, ultrasound sensors and chip solutions, the sources noted. ADAS will be among the fast-growing automotive categories, and is also seen as a future driver of the power management IC and high-speed signal transmission chip market growth.

TI disclosed previously its RFAB2 fab (Richardson, Texas) is expected to start production later this year, and LFAB (Lehi, Utah) is on track for production in early 2023. The analog IDM is also constructing two new 300mm fabs in Sherman, Texas. Production from the first Sherman fab is expected in 2025, according to the company.

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