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Center Drill Bits

Center drill bits are used in metalworking to provide a starting hole for a larger-sized drill bit or to make a conical indentation in the end of a workpiece in which to mount a lathe center. In either use, the name seems appropriate, as the bit is either establishing the center of a hole or making a conical hole for a lathe center. Center drill bits are meant to create a conical hole for “between centers” manufacturing processes (typically lathe or cylindrical-grinder work). That is, they provide a location for a (live, dead, or driven) center to locate the part about an axis. A workpiece machined between centers can be safely removed from one process (perhaps turning in a lathe) and set up in a later process (perhaps a grinding operation) with a negligible loss in the co-axiality of features.

Source Wikipedia