EVs Boost Chip Demand Despite Semiconductor Makers’ Woes

Chip sales across many customer segments are still enjoying one area of rising demand: cars. Growing sales of electric vehicles and greater automation of all vehicles have kept producers of chips for cars busy.

March 6, 2023 . 2:50 PM

1 min read

Chip sales across many customer segments are still enjoying one area of rising demand: cars.
Growing sales of electric vehicles—which tend to use more semiconductors than their gas-powered counterparts—coupled with greater automation of all vehicles, have kept producers of chips for cars busy.
Tesla Inc. plans to scale up to 20 million vehicles a year by 2030, from around 1.3 million in 2022.
As of 2021, the average car had about 1,200 chips, twice the number in 2010.
Companies such as NXP, Infineon, Renesas, Analog Devices and Texas Instruments recently reported surging sales in their automotive divisions and gave strong outlooks for this year.