Japan Govt to Provide Additional Aid to Rapidus

Tokyo, March 31 (Jiji Press)--The Japanese government will provide up to 802.5 billion yen in additional subsidies to Rapidus Corp. in fiscal 2025, which starts Tuesday, the industry ministry said Monday.

Rapidus plans to begin mass production of next-generation 2-nanometer semiconductors in 2027. Starting in April, the company will operate a pilot line at its factory in Chitose, Hokkaido, northern Japan.

The ministry hopes to build a supply chain in Japan for advanced chips essential for artificial intelligence and autonomous driving technology.

Rapidus was founded in 2022 by companies including Toyota Motor Corp. and Sony Group Corp. It is expected to cost as much as 5 trillion yen to start mass production of 2-nanometer chips.

Since fiscal 2022, the government has been providing subsidies to help finance Rapidus' research and development activities. The addition will bring the total amount of subsidies provided to the company to 1,722.5 billion yen.

[Copyright The Jiji Press, Ltd.]