Japanese startup Rapidus, which receives support from the government of this country, announced the hiring of more than 200 people as part of efforts to create an ultra-modern chip manufacturing plant by 2027.

This firm intends to challenge the industry leader Taiwan Semiconductor Manufacturing. This is more than an ambitious goal that can be achieved but is not a guaranteed result. The startup founded a year ago, is spending billions of dollars on subsidies as part of a program to create a semiconductor manufacturer that will be competitive on the world market in Chitose, Japan’s northernmost Hokkaido Prefecture. Politicians say that this project is important for the Japanese economic system since the successful result of the relevant efforts will strengthen the global technological significance of the country. Also, this project will mitigate the consequences of such a problem as the aging of the Japanese economy.

Rapidus President Atsuyoshi Koike at a press conference after the groundbreaking ceremony of the future Rapidus plant, held on Friday, September 1, said that such a chance comes once in a thousand years. He also noted that a similar opportunity will not happen again in the foreseeable future.

The startup plans to install chip gear in December 2024 and launch test production with the aim of subsequently launching a mass assembly of 2-nanometer chips in four years. The chairman of the Board of Rapidus, Tetsuro Higashi, says that this goal is frightening, but it is achievable with the support of Japanese equipment manufacturers and foreign partners.

The administration of Japanese Prime Minister Fumio Kishida promised to provide multibillion-dollar funding for subsidies to support the development of domestic chip production so that the country could benefit from the growing technological confrontation between China and the United States and return to the leadership position in the area of semiconductors.

The Japanese government has allocated 330 billion yen ($2.3 billion) to Rapidus. The country’s economy minister Yasutoshi Nishimura, who attended the event on the occasion of laying the foundation of the future plant, declared his readiness to continue supporting the startup. According to him, the technology that will be used at this factory is the key to Japan’s international competitiveness.

The minister hopes that the country will become a leading manufacturer of equipment and materials for the chip industry.

Also, about 130 people took part in the groundbreaking ceremony, including the heads of chip manufacturing companies such as the Netherlands-based ASML Holding NV and California-based Lam Research.

As we have reported earlier, Germany Reportedly Plans to Dole Out €20 Billion to Bolster Semiconductor Manufacturing.