Japanese Semiconductor Enterprises' 5 Trillion Yen Investment Plan to Revitalize Chip Industry

TapTechNews July 9th news, according to the collation of Nikkei Asia, eight Japanese enterprises in the semiconductor field have planned an investment plan of 5 trillion yen (TapTechNews note: currently about 226.37 billion yuan) from 2021 to 2029 to rejuvenate the Japanese chip industry.

Japan once occupied half of the world's semiconductor market in 1988; but since the beginning of this century, Japanese enterprises have successively withdrawn from cutting-edge technology development, resulting in the market share falling below the 10% mark in 2017; although it has slightly recovered after 7 years of decline, in 2023, the sales also only accounted for 8.68% of the global.

These eight companies include Sony Group, Mitsubishi Electric, Rohm, Toshiba, Kioxia, Renesas, Fuji Electric and Rapidus. They will strengthen the investment in the fields of power semiconductors, sensors, logic chips, etc., and these products are crucial to artificial intelligence, electric vehicles, carbon neutrality, etc.

Japanese Semiconductor Enterprises 5 Trillion Yen Investment Plan to Revitalize Chip Industry_0

Sony Group plans to invest 1.6 trillion yen from fiscal year 2021 to fiscal year 2026 and plans to increase the CIS production. It established a new factory in Nagasaki Prefecture in fiscal year 2023 and has announced that it will build another new factory in Kumamoto Prefecture.

Mitsubishi Electric aims to increase its SiC silicon carbide capacity to more than 5 times that of fiscal year 2022 by fiscal year 2026, and plans to invest 100 billion yen to build a new factory in Kumamoto Prefecture to catch up with the industry leader Infineon.

The investment of Toshiba and Rohm also focuses on the field of power devices, and the sum of the investment amounts of the two parties reaches 380 billion yen. Toshiba will increase the production capacity of silicon power semiconductors in its Ishikawa Prefecture factory, and Rohm will increase the production capacity of SiC power devices in its Miyazaki Prefecture.

In the field of logic chips, the construction of Rapidus' 2nm wafer foundry production line will cost 2 trillion yen.

The Japanese Ministry of Economy, Trade and Industry has set a goal of increasing Japan's semiconductor sales to 15 trillion yen by 2030, which is three times that of 2020. In order to achieve this goal, the Japanese government is actively supporting the capacity building of enterprises.

For the 5 trillion yen investment plan of these eight enterprises, the Japanese government will provide about 1.5 trillion yen in subsidies.