onsemi and Magna have inked a long-term supply agreement (LTSA) for Magna to integrate onsemi’s EliteSiC intelligent power solutions into its eDrive systems.

By integrating onsemi’s EliteSiC MOSFET technology, Magna eDrive systems can offer better cooling performance and faster acceleration and charging rates, improving efficiency and increasing the range of electric vehicles (EVs). Additionally, onsemi’s end-to-end silicon carbide (SiC) manufacturing capability, combined with its ability to ramp production quickly, improves Magna’s vertical integration and simplifies its supply chain to meet the growing demand for its SiC-based products for EVs.

“With range anxiety still a top deterrent to EV adoption, our technology enables Magna to go further, easing the transition to an electrified future,” said Asif Jakwani, senior vice president and general manager, Advanced Power Division, onsemi. “Our latest EliteSiC MOSFET technology enables increased power density and higher efficiency in traction inverters, resulting in improved gas-equivalent miles per gallon without compromising driving dynamics and safety.”

Simultaneous with the signing of the LTSA, the companies entered a separate agreement for Magna to also invest approximately $40 million for the procurement of new SiC equipment at onsemi’s New Hampshire and Czech Republic facilities to ensure access to future supply.

“We believe that a secure supply of SiC chips will be critical to our ability to continue delivering innovative and efficient eDrive systems for our customers,” said Diba Ilunga, president Magna Powertrain. “Accordingly, we are both investing to grow SiC production capacity, and establishing the commercial basis for long-term supply of SiC-based chips to advance our electrification strategy and outpace the competition.”

SiC is a wide bandgap semiconductor substrate that is ideal for high-temperature, high-power applications such as electric vehicles, but it is incredibly difficult to produce. With a limited number of manufacturers and significant demand for SiC-based designs, OEMs and automotive suppliers are increasingly looking to secure long-term, reliable supply.