Japan’s newly formed chip foundry venture Rapidus said it is seeking to invest several trillion yen to help reboot the country’s semiconductor industry.
Backed by Toyota, Sony and six other Japanese companies, the Tokyo-based venture signed a partnership with IBM to develop the U.S. firm’s leading-edge 2-nanometer technologies. Rapidus said it will begin mass production of the chips in 2027 at a plant it plans to build in Japan.
The company secured an allocation of ¥70 billion ($510 million) in subsidies from the country’s Ministry of Economy, Trade and Industry last month. For comparison, the U.S. government is spending more than $50 billion to rebuild its chip production capabilities.