Rapidus Secures $3.9B Government Aid for 2nm, Multi-Chiplet Tech

Rapidus, a Japanese company at the forefront of 2nm process technology, has secured a substantial government grant to support its ongoing projects. The Japanese government will provide ¥590 billion yen ($3.89 billion) in subsidies to aid Rapidus in its mission to commercialize the 2nm production node by 2027. This funding will not only contribute to the development of the fabrication process and cleanroom equipment but also facilitate the advancement of multi-chiplet packaging technology.

With this significant injection of funds, Rapidus is poised to make significant strides towards its ambitious goals. The total government support now stands at ¥920 billion ($6.068 billion), propelling Rapidus into a important position within the semiconductor industry. However, considering the project’s estimated cost of ¥5 trillion ($32.983 billion), additional financing may be necessary. Fortunately, the company can rely on the backing of the Japanese government and major conglomerates like Toyota Motor and Nippon Telegraph and Telephone.

Rapidus’s CEO, Atsuyoshi Koike, has expressed confidence in the company’s timeline, aiming to commence production testing by April 2025 and initiate large-scale production by 2027. The commercial production of 2nm chips is expected to kick off sometime in 2025.

In collaboration with IBM, Rapidus is not only focused on perfecting its 2nm fabrication process but also on advancing packaging technology for multi-chiplet system-in-packages (SiPs). Notably, the latest government subsidies include over ¥50 billion ($329.85 million) dedicated to research and development in this area, marking the first time Japan has provided such support for these technologies.

Furthermore, Rapidus has secured a section of Seiko Epson Corporation’s Chitose Plant for its back-end packaging processes. This strategic location near the company’s fab in Bibi World, an industrial park in Chitose City, Hokkaido, will facilitate pilot-stage research and development activities.

Sources: Rapidus, Nikkei

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