The supply agreement was announced by GM's Executive Vice President of Global Product Development, Purchasing and Supply Chain, Doug Parks. He stated that the company is anticipating its semiconductor needs to double over several years as vehicles become more reliant on technology platforms. The new partnership will enable GM to meet this demand as well as deliver new features to customers.
GlobalFoundries will be supplying advanced chips and this will permit suppliers to manufacture these components in increased volumes. Furthermore, by reducing the use of specialized chips; GM can benefit from improved reliability and better predictability in their supply chain process. With chips becoming ever more critical for the automotive industry, they can facilitate the release of electric cars, enhanced driver assistant functions, connectivity and even autonomous vehicles for mass production.
GF's CEO Dr. Thomas Caulfield commented that GlobalFoundries are dedicated to working closely with partners for tackling global supply chain issues. As part of the deal, GF will extend its production capabilities solely for GM’s supply chain - thus empowering both parties to bolster their collaboration with the automotive industry and New York State while quickening up innovation in car manufacturing via US-based operations, leading to a more dependable supply chain.
Source: GM
