At a recent news conference in Tokyo, it was announced that the Japanese industry ministry has granted approval for substantial subsidies worth up to 590 billion yen to be allocated to Rapidus, a chip foundry venture spearheaded by industry veterans Atsuyoshi Koike and Chairman Tetsuro Higashi. This move is part of Tokyo's strategic efforts to revitalize and fortify the country's chip manufacturing sector, positioning Japan as a key player in the global semiconductor market.
The significant financial backing from the Japanese government includes a portion of 53.5 billion yen designated specifically for advanced packaging, highlighting the crucial role of this technology in driving advancements in chip performance. Rapidus has set ambitious goals to commence mass production of cutting-edge chips on Hokkaido island by 2027, with collaborations established with industry giants IBM and Imec from Belgium for technological expertise and support. This initiative signifies Japan's determination to leverage partnerships and cutting-edge technologies to establish a competitive edge in chip production and potentially reduce dependence on external suppliers in a landscape marked by global uncertainties such as the COVID-19 pandemic and geopolitical tensions.
Despite Japan's ambitious plans and significant financial support for Rapidus, industry analysts and stakeholders remain cautious about the venture's success. With existing players like Taiwan Semiconductor Manufacturing Co. dominating the chip market with extensive experience and established processes, skepticism surrounds the ability of Rapidus to swiftly penetrate and compete effectively in the competitive semiconductor industry. The global race for technological supremacy and self-sufficiency in chip production continues to intensify as countries worldwide strive to bolster their semiconductor capabilities in response to global disruptions and supply chain vulnerabilities.