Bosch to invest 3 billion euros in chip production

BERLIN (Reuters) – Bosch will invest 3 billion euros ($3.01 billion) in chip production by 2026, including on opening two new development centres and expanding a wafer factory in Dresden, the company said on Wednesday.

A total of 170 million euros will go into the new development centres in Reutlingen and Dresden, with 250 million euros to be spent on expanding the 1-billion-euro Dresden site that opened in June 2021.

Bosch, the world’s largest auto supplier, has applied for European Union funding to support the investment from an Important Projects of Common European Interests (IPCEI) budget to boost European chip production to 20% of global output by 2030, from approximately 8% now.

($1 = 0.9964 euros)

(Reporting by Victoria Waldersee, Editing by Miranda Murray and Rachel More)