Nothing works in Europe without microchips from Asia and North America: the ‘old world’ is not even responsible for ten percent of semiconductor production. That has paid off. Factory closures in Asia and supply bottlenecks due to the corona pandemic are throwing a spanner in the works for many industrial companies – just think of the car industry. €43 billion from the EU’s “Chips Law” aims to prevent such scenarios in the future. But will that be enough?
With the mega-investment, which the EU Council and Parliament agree on, the aim is to increase the market share of European chip cakes from less than ten to 20 percent by 2030 and to encourage international semiconductor companies to set up new factories in to build Europe. Big names in the industry such as Intel and TSMC have already shown interest and are now getting planning certainty thanks to the financing campaign. However, other players take more money into their hands – and are faster.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
