Germany to allocate 14,000 million to try to attract chipmakers to the country

The German government tries to attract chipmakers to build semiconductor factories in the country, for which will invest 14,000 million euros in providing financial support to those who decide to do so. The move follows the passage of the European Chip Act as well as Intel’s decision, confirmed earlier this year, to build a new chip manufacturing plant in Germany.

According to The Register, the announcement of the confirmation of this investment was made by German Vice Chancellor and Minister for Economic Affairs, Robert Habeck, at a business event held in Hannover. Habeck also cited the recent shortage of chips, which is causing problems in many sectors, including the automobile and technological equipment manufacturers, which have resulted in some manufacturers having to sell products without all their functions due to the lack of chips, and even having to buy used washing machines to reuse the chips they contain.

This step underscores, once again, the growing importance of semiconductors in the economy, and shows that securing supply is becoming an important issue for governments in many countries. Among them, the Europeans. Last February, the European Commission unveiled the European Chip Law, which proposes various initiatives to promote research and development in this field within the European Union, and which seeks to develop new production capacities to reduce the dependence that the region It has from countries like China for the supply of chips.

The measures of the law will begin with an initial investment of 11,000 million euros, an amount that is expected to increase to 43,000 million euros by 2030, between public and private investments. German investment joins that designated in this law.

Intel has already chosen Germany to build a plant, as we have mentioned, which will open in Magdeburg. The company, according to CEO Pat Gelsingerwould be willing to invest up to $80 billion in new semiconductor plants in Europe as part of its plan to become the world’s leading chip factory operator.

Related Articles

Leave a Reply

Your email address will not be published.