IBM Partners With Japan’s Rapidus To Manufacture Next-Generation Computer Chips

IBM Corp. and new Japanese semiconductor company Rapidus Corp. signed a joint deal to develop technologies to manufacture next-generation computer chips amid competition between the United States and China.

Rapidus, a chip manufacturer backed by the Japanese government, will produce 2-nanometer chips in 2027 in partnership with IBM, a breakthrough in nanosheet technology, paving the way for the 2nm mode.

It is possible to build “a more resilient supply chain that better balances geopolitical risk” by diversifying production bases, said Dario Gil, senior vice president and director of research at International Business Machines Corp., at a press conference in Tokyo.

Supply chain resiliency has been highlighted after the COVID-19 pandemic disrupted global supply chains and caused semiconductor shortages. Disruptions also heightened due to the invasion of Russia in Ukraine.

The Japanese government considers domestic chip production necessary for its economic security to not lose access to semiconductor supplies, as it depends on Taiwan as a major supplier that is currently facing geopolitical risks amid tensions between the United States and China. 

Rapidus, established by Toyota Motor Corp., Sony Group Corp., six other companies, and IBM said they will jointly develop the cutting-edge technology at the Albany Nanotech Complex in New York.

“It is a long-awaited international partnership and is essential for Japan to play a truly crucial role again in the semiconductor supply chain,” Rapidus President Atsuyoshi Koike said.

Rapidus was built to boost Japan’s competitiveness in the chip sector through research and development, design, manufacturing, and selling of advanced logic semiconductors with a  ¥70 billion budget in subsidies from the Japanese government.

Source: ABS-CBN