NXP’s fab not exempt from power supply reductions during grid instability

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NXP manufacturing operations in Nijmegen might face disruptions if the stability of the national electricity supply is reaching critical levels. During such crises, electricity transmission system operators start reducing supply to large commercial users. Only a small number of companies are exempt, and NXP isn’t on operator Tennet’s list. The chipmaker filed a complaint with the Authority for Consumers and Markets, but the ACM has ruled in favor of Tennet.

If the power to the fab drops below critical levels, all chips being processed at that time are ruined. This would have “gigantic financial consequences,” not just for NXP but also for its customers, NXP country manager Jean Schreurs told Eindhovens Dagblad (link in Dutch). He also pointed out that safety is at stake.