Japan funds US chip revival. What about its own?
Japan is investing up to $21 billion in building two chip factories in New York state, as part of a deal with GlobalFoundries. This move is an effort to bolster the US semiconductor industry, despite Japan's own struggling chip sector. The $550 billion investment the US received from Japan will not have a significant impact on improving Japan's supply chain resilience or advanced chip technology.
This investment is a strategic move to maintain a strong relationship with the US, a key trade partner and security ally. Japan's Prime Minister has called for increased public-private investment in sectors like AI and chips, totaling $2.3 trillion by 2040.
Written by urgent.news from The Economic Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
