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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 huge government grant for its ongoing projects. The Japanese government will support Rapidus with subsidies totaling ¥590 billion yen ($3.89 billion). In addition to developing its 2nm production node and spending on cleanroom equipment, Rapidus will also fund the development of multi-chiplet packaging technology.

This extra funding will significantly help the company’s ambitious plans. With the government’s total support now at ¥920 billion ($6.068 billion), Rapidus is getting a solid push to become a significant player in the semiconductor industry. The whole project is expected to cost around ¥5 trillion ($32.983 billion), so the funding is not quite there yet. Meanwhile, the company may get enough financing with support from the Japanese government and large Japanese conglomerates like Toyota Motor and Nippon Telegraph and Telephone.

According to Atsuyoshi Koike, Rapidus’s chief executive, the company is on track to start testing its production by April 2025 and aims to begin large-scale production by 2027. Commercial production of 2nm chips is set to commence sometime in 2025.

In addition to developing its 2nm fabrication process in collaboration with IBM and building its manufacturing facility, 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 this area, the first time Japan has provided subsidies for such technologies.

It is noteworthy that Rapidus will use a section of Seiko Epson Corporation’s Chitose Plant (located in Chitose City, Hokkaido) for its back-end packaging processes. This plant is near the company’s fab, which is currently being built in Bibi World, an industrial park in Chitose City. This space will be dedicated to pilot-stage research and development activities.

Sources: RapidusNikkei

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