Japan offers subsidies of US$3.9 billion for semiconductor project

Japan will make 590 billion yen ($3.9 billion) of subsidies available to a joint venture of semiconductors between local firms and the American IBM, the Ministry of Economy announced on Tuesday.

The Rapidus project, participated by a range of Japanese technology firms and the American giant IBM, aims to produce next-generation two-nanometer chips in the Hokkaido region, in the north of the archipelago.

READ ALSO: This is how the application that allows you to “translate” the language of cats works

It is an “extremely important” initiative that “can have an influence on the competitiveness of Japan’s industry as a whole,” said Hidemichi Shimizu, an official at the Ministry of Economy.

In fact, the project had already secured hundreds of billions of yen from a Japanese government incentive fund to triple sales of locally produced semiconductors to more than 15 trillion yen by 2030.

The government wants to return the Japanese technology sector to its glory days of the 1980s, when companies like Toshiba and NEC dominated the microchip market.

However, competition from South Korea and Taiwan has caused Japanese semiconductors to go from taking over more than 50% of the global market to falling to 10%.

Source: Elcomercio

Callum

I have worked in the news industry for over 10 years. I have a vast amount of experience in writing and reporting. I have also worked as an author for a number of years, writing about technology and other topics.

I am a highly skilled and experienced journalist, with a keen eye for detail. I am also an excellent communicator, with superb writing skills. I am passionate about technology and its impact on our world. I am also very interested in current affairs and the latest news stories.

I am a hardworking and dedicated professional, who always strives to produce the best possible work. I am also a team player, who is always willing to help out others.