STMicroelectronics plans to introduce Silicon Carbide (SiC) and Gallium Nitride (GaN) for the electric vehicle ecosystem in India. In an interview with Francesco Muggeri of STMicroelectronics, Rahul Chopra and Nidhi Agarwal from Electronics For You gathered some fantastic insights.
Q. What encouraged STMicroelectronics to explore the electric vehicle (EV) arena?
A. First, we need to clarify why we focus on these areas for those who need to be better versed in tech. The reason is purely financial—it is about semiconductor revenue, sales, automation, power, and energy growth in the coming years.
We also emphasise on competence centres and invest heavily in cutting-edge technologies like silicon carbide and gallium nitride devices and intelligent motor control units (MCU) with built-in AI. Over half of our investments include more extensive 300-millimetre initiatives and silicon carbide.
According to reports, electric motors use up about 53% of all energy. It’s vital to work on saving a big chunk of that energy to make a real difference.
Q. Can you explain what “competence centres” are and why you invest in them? Do you have any thoughts on setting up something similar in India?
A. I initiated competence centres four years ago, which I am proud of. These centres allow us to provide customers comprehensive semiconductor solutions that work seamlessly together. Our company, ST, has the most extensive range of solutions for the industrial sector. We have got a super wide variety of products which are ready to go to market.
We want to enable our customers to use a complete set of our semiconductors right from the start since we have designed them such that when they work together, they work well. So, through these competence centres, we have dedicated teams that can understand the holistic needs of the customers and offer them a whole solution. We have established these in China, Korea, and Taiwan within four years.
We have chosen to also invest in setting up one in Greater Noida, India. We have sorted the space out and are ready to put money into the necessary equipment. We are also hiring two engineers. One will focus on power and energy stuff like smart metres and wireless charging, and the other will work on things like motor drives and home appliances. This investment shows our commitment to tailored solutions for the Indian market, especially since these all-in-one solutions are in top demand. This could give us a competitive edge, at least in India.
Q. How does India compare to other Asian nations, and how does it affect your go-to-market strategy?
A. India is a younger market than China and Taiwan. By ‘younger’, I mean they are still growing in their tech competencies. India excels in software development, which has a global impact. When you look at how India is growing, it’s pretty different from China. For instance, in China, they have the setup to support high-speed cars and highways. But India’s scene is more about motorbikes and not about luxury cars, which are more common in the West. It’s essential to bring cars to India that fit their current setup.
Regarding our approach in India, we are considering creating suitable car chargers. Instead of going for high-powered chargers, we focus on smaller, more practical ones first. These suit the smaller cars you find here, which don’t need as much power to charge. We adapt our approach to match India’s unique needs.
Q. Who owns the IP from competence centres? Is it handed over to the customer?
A. Every solution starts with a request, which a customer generally initiates. We then signed a confidentiality agreement and got to work. If new intellectual properties emerge, we share them with the customer for free as long as they purchase the products outlined in the Bill of Materials. They get the IP at no extra cost if they buy the agreed-upon materials.
Q. Is EV charging an essential market for you?
A. Absolutely. We already have a few reasonable EV-charging solutions ready to go to market. Plus, we are eager to refine them to meet the specific needs and preferences of Indian customers.
Q. Can someone with an EV charging design idea collaborate with your team for a possible solution?
A. We’ve even got some local partners who have mastered our range of solutions. Together, we’ve set up a lab where our technical teams can collaborate, learn, and aim to provide the best service possible. We are open to collaborating on new solutions.
Q. Does your EV plan include something special for India?
A. We are excited to bring a couple of big things to India. First up is something for high-power needs, especially in areas like charging stations. Here, silicon carbide is a star player, and we are all set to introduce it along with our gate drivers, offering a complete solution. Next, we have Gallium Nitride, a key ingredient in making things smaller and more compact. These two are our top picks for the Indian market! We also have Power Guns in the pipeline.
Q. What’s a ‘Power Gun,’ and where do you see its potential applications?
A. The power gun is pretty cool—it’s a small device that can step in for the usual MOSFET and provide a better performance. It costs more since the technology is still evolving. Looking ahead, we are eyeing the automotive sector, particularly in board chargers, though it’s still early days for everyone in this area.
It will be exciting when the automotive-grade versions become available; we are actively working on that. In addition to cars, this power gun can shine in high-power switch mode power supplies exceeding 300 watts. It’s also an excellent fit for the telecom sector, perfect for servers and desktop computers. We see a lot of potential pathways for this power gun!
Q. Do customers worry about cost when you recommend your parts? How do you reassure them?
A. They might notice that one part could be pricier, but we are here to offer an entire solution, not just cheap parts. Cost-effectiveness is crucial, and we streamline solutions to save space and improve efficiency.
Q. How do India’s earnings compare to China for your division, and what are your hopes for India’s future performance?
A. China generates over $100 billion, while India is in the low billions. We are profitable in both places, but revenue-wise, they differ significantly.
Q. How is STMicroelectronics working towards sustainability?
A. Well, in our market, everyone is working towards becoming carbon neutral. We are doing well in that aspect. As of 2022, about than % of our electric energy about 51%, is coming from renewable sources. We generate only some of that green energy at our facilities; instead, we buy it from local providers. They usually charge more for clean energy, but it’s worth it.
