The Advanced Electronics & Semiconductor Solutions (AESS) unit will develop and manufacture semiconductor circuits or Application specific semiconductor circuits
In addition, as a strategic move, GlobalFoundries (GF) has been asked to become the manufacturing partner for the organisation.
With the automotive industry’s demand for semiconductors to enhance electronic content for Software-defined Vehicles increasing, the global automotive semiconductor market is expected to reach a valuation of around 110 billion Euros by 2032.
“Continental is committed to sustainable growth and to ensure future success we have decided to develop semiconductors internally. The creation of this fabless semiconductor organisation will strengthen Continental’s position not only by reducing geopolitical risks but also by becoming more self-reliant in this field,” said Philipp von Hirschheydt, member of the Continental Executive Board and CEO of the future Aumovio.
AESS will design and verify semiconductors internally while the production line will be established with GF to exclusively manufacture these semiconductors for the organisation.
GF has a global manufacturing footprint across the US, Europe and Asia, and delivers solutions to several key industries including automotive, Internet of Things, communications infrastructure, smart mobile and other high-growth markets.
“Our silicon-proven portfolio of automotive-qualified process technologies will enable Continental to deliver innovative solutions for the next generation of safe, connected and autonomous vehicles,” said Niels Anderskouv, president and chief operating officer at GF.
“In the evolving automotive landscape, it is imperative for organisations to invest in technology, particularly in essential areas like semiconductors. The formation of this new entity, in collaboration with a dependable manufacturing partner such as GlobalFoundries, will empower us to develop innovative products and solutions successfully,” added Nino Romano, CTO Continental Automotive.
The establishment of this organisation aligns with Continental’s long-term strategy to invest in technology and will help to increase self-sufficiency and to establish a resilient supply chain, as well as improve product quality, and reduce time to market.
