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Japan's high-stakes gamble to turn island of flowers into global chip hub

Japan's high-stakes gamble to turn island of flowers into global chip hub

Summary

Japan is investing heavily in the island of Hokkaido to turn it into a major center for making advanced computer chips, driven by the company Rapidus. The initiative involves building factories and research centers, and aims to establish Japan as a competitor in the global semiconductor market. Rapidus has already succeeded in producing a prototype of a cutting-edge chip, with plans to start mass production by 2027.

Key Facts

  • Japan is spending billions to transform Hokkaido, known for agriculture and tourism, into a semiconductor production hub.
  • The project includes creating technology-focused factories, research centers, and universities.
  • Rapidus, a company supported by the Japanese government and big corporations like Toyota and Sony, is leading this effort.
  • Rapidus has partnered with IBM and built a semiconductor factory in Chitose, an area chosen for its resources and lower earthquake risk.
  • An important achievement was the creation of a 2-nanometer chip prototype, using advanced technology from ASML.
  • Mass-producing these chips by 2027 is the goal, though funding and expertise challenges remain.
  • The project aims to compete in a $600 billion global chip market, taking on established players like TSMC and Samsung.

Source Information