Bosch gets $225 million CHIPS deal for Roseville SiC fab

Bosch’s Roseville, California, chip factory has become the latest test of whether CHIPS Act money can move beyond headline commitments and into domestic production. The Commerce Department signed a direct funding agreement worth up to $225 million for Robert Bosch Semiconductor, backing the company’s plan to turn a former TSI Semiconductors site into its first U.S. semiconductor production facility.capradio

The award supports a broader Bosch investment of up to $2 billion in Roseville, where the company says sample production of silicon carbide semiconductors has begun and commercial output on 200-millimeter wafers is expected in 2026.nist Bosch acquired the site in 2023 and has been converting it with new cleanroom space and an advanced manufacturing line while retaining and retraining existing workers.abc10

Silicon carbide chips are prized because they can handle high voltage, high temperatures and fast switching in smaller parts. That makes them useful for electric vehicles, industrial power systems, defense equipment and data-center energy systems, all areas where Washington wants shorter and more resilient supply chains.capradio Bosch says it has delivered more than 60 million silicon carbide chips globally since 2021 and plans to bring its third-generation technology to Roseville.nist

The local stakes are also significant. CapRadio reported that Roseville officials expect the project to anchor hundreds of skilled manufacturing jobs, with Mayor Krista Bernasconi calling it the largest semiconductor fabrication investment in California in 30 years.[0] ABC10 said regional leaders are pitching the award as a step toward making greater Sacramento a hub for advanced manufacturing rather than just a beneficiary of one federal grant.roseville

The deal is not a blank check. The CHIPS Program Office described the funding as incentives tied to Bosch’s modernization and expansion work, with commercial production still ahead.capradio That timing matters: the Roseville plant now has to prove that a converted U.S. fab can scale a specialized power-chip technology fast enough to serve automakers and energy customers that have grown wary of fragile global supply chains.abc10