Kyoto University-launched startup Flosfia plans to produce semiconductors for electric vehicles with improved energy-saving performance that will extend the driving range of EVs by about 10% compared with cars using current chips.
The firm which counts Mitsubishi Heavy Industries, Denso and the Development Bank of Japan as investors will mass-produce semiconductors that use gallium oxide as a substrate. These can reduce power loss by 70% compared with current semiconductors. In addition, the chips can reduce EV power consumption by 10%, which will lead to longer cruising ranges on a single charge.
Flosfia will establish a system with a monthly production capacity of several hundred thousand units by summer 2023, and sell the chips to manufacturers of auto parts. The company plans to outsource production to domestic electronics companies, targeting sales of 100 billion yen ($732 million) by 2030.
As EV demand increases, the firm wants to commercialize its chips before competitors in Europe and the U.S. catch up.
Driving range on a single charge is a key factor in electric vehicles, pushing automakers to improve battery performance and reduce vehicle weight. Semiconductors control the current and voltage of motors and other EV parts, and making the chips more energy efficient is the primary focus of Flosfia.
Japanese companies have a small presence in the semiconductor sector overall, but still hold an advantage in chips that control power usage in cars and home appliances.
Mitsubishi Electric, Toshiba and Fuji Electric together hold about 20% of the world market share in power semiconductors. New companies like Flosfia are finding a niche in the industry with the support of the Japanese government-backed New Energy and Industrial Technology Development Organization.