Bosch proceeds with plans to make Roseville a center of electric car chip manufacturing

The plan to make Roseville a major center of chip manufacturing for electric cars is one step closer to reality.

German tech conglomerate Bosch said it expects to complete the acquisition of TSI Semiconductors in Roseville on Thursday as it moves forward with its plan to turn the circuit manufacturer into a major chip manufacturing facility for electric cars.

Bosch plans a $1.5 billion investment in the TSI facility at 7501 Foothills Blvd., which would join its existing chip manufacturing facilities in Reutlingen and Dresden, Germany.

But the company emphasized in a Wednesday news release that the investment will be “heavily dependent” on federal funding opportunities.

The opportunities are a reference to the The CHIPS and Science Act, passed by Congress and signed into law by President Joe Biden in August 2022, allowing for $52 billion toward domestic manufacturing of semiconductors. That includes funding for subsidies, research and workforce training efforts and tax credits.

Bosch also said that the Governor’s Office of Business & Economic Development has approved a $25 million California Competes Tax Credit incentive that will support redevelopment and investment in Roseville.

Bosch also emphasized the necessity of obtaining the federal funds when it first announced in April that it had inked a deal to buy TSI Semiconductors.

Bosch said in the news release that the $1.5 billion is to transform the Roseville site into a facility that produces and tests silicon carbide semiconductors, which are key building blocks for electric vehicles.

The facility currently makes chips for a wide variety of industrial applications.

Bosch said all 250 employees on the payroll at TSI Semiconductors will join the Bosch family and that it anticipates more jobs would be added. However, the news release was vague on specifics.

“Production will be built up gradually and we expect the Roseville location to grow,” it stated.

Bosch anticipates the first chips for electric cars will be manufactured in 2026.

Both Bosch and TSI Semiconductors are private companies. The financial details of the acquisition of the Roseville company were not disclosed.

This story was originally published August 30, 2023 at 5:14 PM.