Tesla’s recent announcement to cut the use of silicon carbide (SiC) by 75% has garnered much attention for the wide bandgap semiconductor. Though Tesla’s pioneering application of SiC in vehicle inverter modules has driven many automakers to follow suit, cost reduction has been a persistent challenge. While it remains to be seen how the SiC industry would be impacted by Tesla’s decision, sources from the defense and aerospace supply chain believe that aerospace sector will drive the next spurt of SiC demand.