Japan looks set inject 70 billion yen into a new semiconductor company amid plans to jump-start next generation advanced chip production with the help of IBM.with the US to build cutting edge chip plants. The project will be allocated 350 billion yen , and follows earlier proposals for a bilateral chip deal between America and Japan to develop the technology for 2nm chips.
Now, Tokyo has announced it will form a new semiconductor company named Rapidus, backed by the initial 70 billion yen investment, which will play a central role in this project. It will also be backed by a number of the country’s companies, including Toyota, Sony, NTT, SoftBank, Kioxia, Denso, NEC, and MUFG Bank, according to The Japan Times.
The latest move was announced at a briefing with Japan’s minister of economy, trade and industry Yasutoshi Nishimura, who said Rapidus is expected to begin making chips in the second half of the decade, as part of an effort to revitalize its semiconductor industry and strengthen ties with allies, chiefly the US.
“As the rivalry between the US and China over tech supremacy has been intensifying, chips are becoming more important in terms of economic security,” Nishimura said.on the development of chip technology, according to the Financial Times. It claims the agreement will also involve a Japanese research institute that is being set up for this purpose, with help from Japan’s universities and other publicly funded research groups.
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