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onsemi Selected to Power Volkswagen Group’s Next-Generation Electric Vehicles

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onsemi has signed a multi-year deal with Volkswagen Group to be the primary supplier of a complete power box solution for its next-generation traction inverter. The solution, based on onsemi's EliteSiC M3e platform, features silicon carbide-based technologies in an integrated module scalable across all power levels. This will enable Volkswagen to customize power needs for different vehicles while maximizing efficiency and performance.

The power box solution can handle more power in a smaller package, reducing energy losses and improving system efficiency. Volkswagen will benefit from onsemi's planned expansion of silicon carbide manufacturing in the Czech Republic, establishing an end-to-end production facility in Europe for the traction inverter power system.

onsemi ha firmato un contratto pluriennale con il Gruppo Volkswagen per diventare fornitore principale di una soluzione completa di power box per il suo prossimo inverter di trazione di nuova generazione. La soluzione, basata sulla piattaforma EliteSiC M3e di onsemi, utilizza tecnologie in carburo di silicio in un modulo integrato scalabile su tutti i livelli di potenza. Ciò consentirà a Volkswagen di personalizzare le esigenze energetiche per diversi veicoli, massimizzando l'efficienza e le prestazioni.

La soluzione della power box è in grado di gestire maggiore potenza in un pacchetto più compatto, riducendo le perdite di energia e migliorando l'efficienza del sistema. Volkswagen beneficerà dell'espansione pianificata da parte di onsemi della produzione di carburo di silicio nella Repubblica Ceca, creando un impianto di produzione completo in Europa per il sistema di alimentazione dell'inverter di trazione.

onsemi ha firmado un acuerdo a largo plazo con el Grupo Volkswagen para ser el proveedor principal de una solución completa de power box para su inversor de tracción de próxima generación. La solución, basada en la plataforma EliteSiC M3e de onsemi, cuenta con tecnologías de carburo de silicio en un módulo integrado escalable a todos los niveles de potencia. Esto permitirá a Volkswagen personalizar las necesidades de energía para diferentes vehículos, maximizando la eficiencia y el rendimiento.

La solución de power box puede manejar más potencia en un paquete más pequeño, reduciendo las pérdidas de energía y mejorando la eficiencia del sistema. Volkswagen se beneficiará de la expansión planificada de onsemi para la fabricación de carburo de silicio en la República Checa, estableciendo una instalación de producción integral en Europa para el sistema de alimentación del inversor de tracción.

onsemi는 폭스바겐 그룹과 다년간 협약을 체결하고 차세대 트랙션 인버터를 위한 완전한 전원 박스 솔루션의 주요 공급자가 되었습니다. onsemi의 EliteSiC M3e 플랫폼을 기반으로 하는 이 솔루션은 모든 전력 수준에 걸쳐 확장 가능한 통합 모듈에서 탄화규소 기반 기술을 특징으로 합니다. 이를 통해 폭스바겐은 다양한 차량에 대한 전력 요구 사항을 사용자 정의하고 효율성과 성능을 극대화할 수 있습니다.

전원 박스 솔루션은 더 작은 패키지에서 더 많은 전력을 처리할 수 있어 에너지 손실을 줄이고 시스템 효율성을 개선합니다. 폭스바겐은 체코 공화국에서 탄화규소 제조를 확장할 계획인 onsemi로부터 혜택을 볼 수 있으며, 트랙션 인버터 전원 시스템을 위한 유럽 내 완전한 생산 시설을 구축하게 됩니다.

onsemi a signé un contrat pluriannuel avec le Groupe Volkswagen pour devenir le fournisseur principal d'une solution complète de power box pour son onduleur de traction de prochaine génération. La solution, basée sur la plateforme EliteSiC M3e d'onsemi, utilise des technologies à base de carbure de silicium dans un module intégré évolutif à tous les niveaux de puissance. Cela permettra à Volkswagen de personnaliser les besoins énergétiques pour différents véhicules tout en maximisant l'efficacité et la performance.

La solution power box peut gérer plus de puissance dans un format plus petit, réduisant les pertes d'énergie et améliorant l'efficacité du système. Volkswagen bénéficiera de l'expansion projetée par onsemi de la fabrication de carbure de silicium en République tchèque, établissant une installation de production complète en Europe pour le système d'alimentation de l'onduleur de traction.

onsemi hat einen Mehrjahresvertrag mit der Volkswagen Gruppe unterschrieben, um der Hauptlieferant einer vollständigen Power-Box-Lösung für den nächsten Traktionswechselrichter zu werden. Die Lösung, die auf der EliteSiC M3e Plattform von onsemi basiert, nutzt auf Siliziumkarbid basierende Technologien in einem integrierten Modul, das auf alle Leistungsstufen skalierbar ist. Dies ermöglicht es Volkswagen, den Energiebedarf für verschiedene Fahrzeuge zu individualisieren und gleichzeitig Effizienz und Leistung zu maximieren.

Die Power-Box-Lösung kann mehr Leistung in einem kleineren Paket verarbeiten, wodurch Energieverluste reduziert und die Effizienz des Systems verbessert werden. Volkswagen wird von der geplanten Expansion der Siliziumkarbid-Produktion von onsemi in der Tschechischen Republik profitieren und damit eine durchgängige Produktionsstätte in Europa für das Leistungssystem des Traktionswechselrichters etablieren.

Positive
  • Multi-year deal signed with Volkswagen Group as primary supplier
  • Solution scalable across all power levels for various vehicle categories
  • Improved system efficiency and performance with smaller package size
  • Planned expansion of silicon carbide manufacturing in Europe
Negative
  • None.

From a financial perspective, this multi-year deal between onsemi and Volkswagen Group is expected to have a significant positive impact on onsemi's revenue. The supply of silicon carbide-based power solutions integrates deeply into Volkswagen's next-generation electric vehicle (EV) lineup, positioning onsemi at the heart of a growing EV market. This deal not only ensures a steady revenue stream for onsemi but also involves substantial investments in expanding manufacturing capabilities in Europe. Such investments can lead to potential tax incentives and job creation, enhancing onsemi's market presence and operational efficiency. Retail investors should consider the long-term revenue growth potential tied to the extensive adoption of onsemi’s EliteSiC technology by a leading automotive giant.

The adoption of onsemi’s EliteSiC M3e MOSFETs in Volkswagen's Scalable Systems Platform marks a technological leap in EV performance. Silicon carbide (SiC) technology offers numerous advantages over traditional silicon solutions, such as higher efficiency, better thermal management and reduced energy losses. These factors are important in EVs, where range and efficiency are paramount. onsemi's integrated module design, which includes three half-bridge modules for effective heat dissipation, ensures superior performance and longevity of the power systems. This positions Volkswagen to deliver EVs with enhanced driving range and reliability, thereby appealing more to the eco-conscious consumer market. Investors should note that technological leadership in SiC can drive onsemi’s competitive edge in the rapidly evolving EV sector.

This strategic collaboration between onsemi and Volkswagen Group is a clear indicator of the growing importance of silicon carbide technology in the EV market. The deal positions onsemi as a pivotal player in the supply chain for one of the world's largest automotive manufacturers. By securing a multi-year contract and committing to European manufacturing expansion, onsemi mitigates supply chain risks and ensures a resilient production pipeline. This move aligns well with the increasing demand for localized production and sustainability in automotive manufacturing. For investors, this partnership underscores both companies' commitment to innovation and market leadership, suggesting strong future market performance and a solid investment opportunity in the burgeoning EV industry.

Company will be primary provider of fully optimized power system solution based on onsemi’s latest generation EliteSiC M3e platform

NEWS HIGHLIGHTS

  • onsemi and Volkswagen Group sign multi-year deal to supply solution for vehicle lineup across several brands
  • onsemi will provide a full stack of silicon carbide technologies as part of an integrated module solution that can scale across all power platforms
  • Volkswagen Group will benefit from onsemi’s plans to expand manufacturing in Europe that would establish an end-to-end production facility for the traction inverter system

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--

onsemi (Nasdaq: ON) announced today it has signed a multi-year deal with Volkswagen Group to be the primary supplier of a complete power box solution as part of its next-generation traction inverter for its Scalable Systems Platform (SSP). The solution features silicon carbide-based technologies in an integrated module that can scale across all power levels – from high power to low power traction inverters to be compatible for all vehicle categories.

onsemi's EliteSiC M3e MOSFETs accelerate the pace of innovation for power semiconductors (Photo: Business Wire)

onsemi's EliteSiC M3e MOSFETs accelerate the pace of innovation for power semiconductors (Photo: Business Wire)

“By offering a complete power system solution that encompasses the entire power sub-assembly, we provide Volkswagen Group with a single, simplified modular and scalable platform that maximizes efficiency and performance for their vehicle lineup," said Hassane El-Khoury, president and CEO of onsemi. “This new approach allows for the customization of power needs and the addition of features for different vehicles without compromising on performance, all while reducing cost.”

Based on the EliteSiC M3e MOSFETs, onsemi’s unique power box solution can handle more power in a smaller package which significantly reduces energy losses. The inclusion of three integrated half-bridge modules mounted on a cooling channel will further improve system efficiency by ensuring heat is effectively managed from the semiconductor to the coolant encasement. This leads to better performance, improved heat control, and increased efficiency, allowing EVs to drive further on a single charge. By using this integrated solution, Volkswagen Group will be able to easily transition to future EliteSiC-based platforms and remain at the forefront of EV innovation.

“We are very pleased to have onsemi as a strategic supplier for the power box of the traction inverter for our first tranche in the SSP platform. onsemi has convinced us with a deeply verticalized supply chain from the growth of the raw material up to the assembly of the power box,” said Mr. Dirk Große-Loheide, Member of the Extended Executive Committee Group Procurement and Member of the Board Volkswagen Brand for “Procurement.”

Mr. Till von Bothmer, Senior Vice President VW Group Procurement for Powertrain, added, “On top of the verticalization, onsemi has furthermore provided a resilient supply concept with regional silicon carbide fabs across Asia, Europe and the U.S. In addition, onsemi will continuously provide the latest SiC generation to ensure competitiveness.”

Volkswagen Group will also benefit from onsemi’s planned investment to expand its silicon carbide manufacturing in the Czech Republic. The investment would establish an end-to-end production facility in Europe for the traction inverter power system. The proximity of onsemi's facility would fortify Volkswagen Group’s supply chain while improving logistics and allowing for faster integration into the manufacturing process.

More Information:

About onsemi

onsemi (Nasdaq: ON) is driving disruptive innovations to help build a better future. With a focus on automotive and industrial end-markets, the company is accelerating change in megatrends such as vehicle electrification and safety, sustainable energy grids, industrial automation, and 5G and cloud infrastructure. onsemi offers a highly differentiated and innovative product portfolio, delivering intelligent power and sensing technologies that solve the world’s most complex challenges and leads the way to creating a safer, cleaner and smarter world. onsemi is recognized as a Fortune 500® company and included in the Nasdaq-100 Index® and S&P 500® index. Learn more about onsemi at www.onsemi.com.

onsemi and the onsemi logo are trademarks of Semiconductor Components Industries, LLC. All other brand and product names appearing in this document are registered trademarks or trademarks of their respective holders.

Krystal Heaton

Director, Head of Public Relations

onsemi

(480) 242-6943

Krystal.Heaton@onsemi.com

Source: onsemi

FAQ

What is the main product onsemi (ON) will supply to Volkswagen Group?

onsemi will supply a complete power box solution based on its EliteSiC M3e platform for Volkswagen Group's next-generation traction inverter in its Scalable Systems Platform (SSP).

How will onsemi's power box solution benefit Volkswagen's electric vehicles?

The solution can handle more power in a smaller package, reducing energy losses and improving system efficiency. This leads to better performance, improved heat control, and increased efficiency, allowing EVs to drive further on a single charge.

Where is onsemi (ON) planning to expand its silicon carbide manufacturing for Volkswagen Group?

onsemi is planning to expand its silicon carbide manufacturing in the Czech Republic, establishing an end-to-end production facility in Europe for the traction inverter power system.

What advantages does the onsemi (ON) power box solution offer to Volkswagen Group?

The solution allows Volkswagen Group to customize power needs for different vehicles, maximize efficiency and performance, and easily transition to future EliteSiC-based platforms, all while reducing costs and improving supply chain resilience.

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