IPA Invests 100 Billion Yen in Rapidus for Next-Generation Semiconductors

Next-generation semiconductors are positioned as a foundational technology supporting the realization of a digital society, including the deployment of generative AI and autonomous driving. In light of projections that future computing requirements will increase substantially as their use expands, the need to establish a domestic manufacturing base has been identified.

Against this policy need, IPA will provide financial support for mass production and related activities, and promote the development of domestic production capabilities through its investment in Rapidus.

IPA's public investment and investment by 32 private companies were made simultaneously, putting into concrete form a public-private cooperative effort to establish a manufacturing base for next-generation semiconductors.

In policy implementation, a framework to support mass production and related activities will be operated through the provision of financial support services under the amended law and investment in businesses selected by the Minister of Economy, Trade and Industry.

Following an amendment to the Act on the Promotion of Information Processing, IPA will newly carry out financial support services for the mass production and other activities of next-generation semiconductors. This includes initiatives to establish production facilities for designated high-speed information-processing semiconductors, conduct prototyping, develop demand, and ensure stable production.

Rapidus was selected by the Minister of Economy, Trade and Industry as the selected business operator best suited to implement the eligible projects, and has now received investment through a third-party allotment capital increase. Investment from private companies was also made simultaneously, creating a framework that supports fundraising through both the public and private sectors.

Rapidus is headquartered in Chiyoda, Tokyo, and its representative director, president, and CEO is Junji Koike. Its business includes the research, development, design, manufacture, and sale of semiconductor devices, integrated circuits, and related products.