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NowCar Stellantis Hon Hai Technology SiliconAuto

Stellantis Forms SiliconAuto to Become the New Semiconductor Chip Supplier of the Auto Industry

Written By, Jordan R

The 2020 Coronavirus COVID-19 pandemic will definitely be one for the history books of mankind. A perilous situation, the fallout affected the economy and various industries for years. One such hardship was the semiconductor chip shortage on the auto industry. A hot commodity known to be able to power massive data-centers, modern automobile technology, and many consumer digital devices, the lack of supply hurt automakers Chevrolet, pausing the production of the 2021 Chevy Corvette C8, and Dodge//SRT and its new Dodge Direct Connection catalog. Looking for new ways to get their hands on a steady supply, automakers like Stellantis formed new partnerships for semiconductor chip production. Following the partnership between Stellantis with Hon Hai Technology Group (“Foxconn”) in 2021, a new venture called SiliconAuto will become the new home and supplier of state-of-the-art semiconductors to the automotive industry.

With the growing number of battery-electric vehicles (BEVs) on the market, and the variety of new software and electronic features being released by automakers, the need for a secure and steady supply of semiconductor chips has become a high priority. Capitalizing on this need is definitely going to bring in the cash. With all the investments going on with Stellantis Ventures, the corporate venture fund of Stellantis N.V. to invest in startups, the automotive group will definitely have to keep its pockets full. Already working with Foxconn in the past, Stellantis now had access to the semiconductor chip supplier behind names consumer products like the iPad, iPhone, iPod, Kindle, Nintendo 3DS, Nintendo Switch, Nintendo Switch Lite, Nokia devices, Xiaomi devices, PlayStation 3, PlayStation 4, Wii U, Xbox 360, Xbox One, and several CPU sockets.

“We look forward to a future of extraordinary EV mobility underpinned by the vertical integration capabilities and resources SiliconAuto secures for our partners…The collaborative energy will propel our customers to become more competitive.” - Foxconn Chief Product Officer Jerry Hsiao

After entering into a new partnership with Hon Hai Technology Group, Stellantis could start working on its electrical/electronic and software architecture, the STLA Brain. Already slated for four battery electric vehicle-centric platforms in 2024, we got a glimpse of this when Stellantis debuted the STLA SmartCockpit during the 2023 Consumer Electronics Show. Powered by Amazon services, this was an addition to the already growing relationship Amazon has with Stellantis, including its order of thousands of all-electric Ram ProMaster BEVs and storefronts for Jeep® and Dodge.

Stellantis isn’t the only ones changing it up. The Renault-Nissan-Mitsubishi Alliance and Google will be releasing a new vehicle that features an infotainment system powered by an Android-based OS. The Hyundai Motor Group (HMG) announced a new investment for software-defined vehicles (SDVs), and such SDV technology already appeared in the Kia EV9 with on-demand features and over-the-air (OTA) software updates. Just think of how many semiconductor chips are needed to run either system. Ka-ching, ka-ching!

SiliconAuto will be headquartered in the Netherlands, already homeland to the automaker with Stellantis headquarters in Hoofddorp, Netherlands, Amsterdam. The state-of-the-art semiconductor supplier has quoted the start of operations in 2026 as a 50/50 joint venture between Stellantis N.V. and Hon Hai Technology Group (“Foxconn”). To learn more about SiliconAuto and Stellantis investments, follow along with us on NowCar social media.

Photo Source/Copyright: Stellantis Media