Vitesco Technologies, an electric powertrain supplier, and onsemi have announced a 10-year, $1.9-billion silicon carbide (SiC) supply deal for electrification technologies.

Vitesco Technologies is investing $250 million in new SiC boule growth, wafer fabrication and epitaxy equipment for onsemi to assure its access to SiC capacity over the next 10 years and beyond. The equipment will produce SiC wafers for Vitesco’s expanding SiC demand. Onsemi will also spend heavily on developing the SiC supply chain in response to rapidly growing demand. Vitesco will use onsemi’s EliteSiC MOSFETs for traction inverters and EV drives.

“This collaboration will enable Vitesco Technologies to address their customers’ demand for longer range and higher performance in electric vehicles,” said Hassane El-Khoury, President and CEO of onsemi.

Source: Vitesco Technologies