Rapidus to Get $3.9 Billion in Government Aid for 2nm, Multi-Chiplet Technologies

Rapidus to Get $3.9 Billion in Government Aid for 2nm, Multi-Chiplet Technologies

Rapidus, a Japan-based company developing 2nm process technology and aiming to commercialize it in 2027, will receive a major government grant for its ongoing projects. The Japanese government will support Rapidus with a ¥590 billion yen ($3.89 billion) subsidy. In addition to developing its 2nm production node and spending on cleanroom equipment, Rapidus will also fund the development of multichiplet packaging technology.

This additional funding will significantly support the company's ambitious plans. With total government support now at ¥920 billion ($6.068 billion), Rapidus is getting a solid push to become a major player in the semiconductor industry. The entire project is expected to cost around ¥5 trillion ($32.983 billion), so funding is not yet sufficient. Meanwhile, the company could receive substantial financial support from the Japanese government and large Japanese conglomerates such as Toyota Motor and Nippon Telegraph and Telephone.

According to Rapidus chief executive Atsuyoshi Koike, the company is on track to start its production trials by April 2025 and aims to start mass production by 2027. Commercial production of 2nm chips is scheduled to begin sometime in 2025.

In addition to developing its 2nm fabrication process and building its manufacturing facility with IBM, Rapidus is also working on advanced packaging technology for multi-chiplet system-in-packages (SiPs). The latest government subsidies include more than ¥50 billion ($329.85 million) for research and development in the area, the first time Japan has provided subsidies for such technologies.

It is noteworthy that Rapidus will use part of Seiko Epson Corporation's Chitose Plant (located in Chitose City, Hokkaido) for its back-end packaging process. The plant is close to the company's fab currently being built at BB World, an industrial park in Chitose city. This space will be dedicated to pilot phase research and development activities.

Sources: Rapidus, Nicky

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