Globalfoundries plans mega expansion in Dresden: 1.1 billion euros for chips!

Globalfoundries plans mega expansion in Dresden: 1.1 billion euros for chips!

Dresden, Deutschland - in Dresden a lot is currently happening in the world of semiconductors. Globalfoundries, an important US chip producer, has negotiated with the German government for funding for its location. An impressive expansion of the factory in Saxony is planned, which is said to cost 1.1 billion euros. A few days ago, it became known that the federal government is ready to provide several hundred million euros in grants in order to support this ambitious plan. The goal? Production in Dresden is to be doubled to up to 1.5 million wafers a year. This decision could turn out to be the right one, because Globalfoundries is an important supplier for the automotive industry, which is currently affected by a dramatic deficiency in chip.

A spokesman for the company stated that the realization of the European Chips Act in Dresden has already started. The details of the planned projects are to be published in the coming weeks. Oliver Schenk, MEP of the CDU, confirmed an approval for the project of the project, even if the final funding permit is still pending. Nevertheless, Globalfoundries can already start buying machines for production.

a strong ecosystem: Silicon Saxony

Dresden itself is often referred to as "Silicon Saxony". This name is no coincidence, because Saxony is home to the largest semiconductor industry in Europe, which is largely due to the legacy of the GDR, extensive research and numerous subsidies. The semiconductor ecosystem in Saxony has an impressive 73,000 employees who work in manufacturers, suppliers, service providers and research institutes. In addition to Globalfoundries, large companies in this region also include Bosch and Infineon. The semiconductor tradition in Dresden, which goes back to the GDR period, has achieved a new dimension today.

The Technical University of Dresden and numerous research institutions play a central role in further promoting innovation and growth in the industry. It is particularly worth mentioning that Bosch only opened a new semiconductor plant in Dresden in 2021, which is equipped with an investment of 1 billion euros and is also planning expansion measures in the near future.

subsidies and European cooperation

The dizzying investments in the semiconductor industry are not without reason. The automotive industry in Germany has brought the chip deficiency, triggered by various factors, including Corona pandemic. In order to counter this challenge, the EU initiated the European Chips Act in spring 2022 with the aim of improving the self -sufficiency of the EU in the microelectronics sector. The funding of 20 billion euros is planned for Germany, of which 3 billion euros are still available for future projects. These measures not only strengthen Saxony, but also set an important signal for other EU member states that this global competition can be successfully passed.

The investment of globalfoundries is seen as a true milestone for high technology in Saxony, especially after the failed settlement of Intel in Magdeburg. This development could bring hope for an economic upswing in the region, especially in the auto and chemical industry, which are of central importance for the Saxon economy.

It remains exciting how the plans will be concretized. However, the signs stand well for Dresden and the entire Silicon Saxony, which would continue to position itself as a hot spot in the semiconductor industry in Europe.

For more information about the latest developments in this area, read the reports of Süddeutsche Zeitung , nzz and Deutschland-ste-europa-en-weg-20-mrd-foerderager- die-die-Halbleiterbranche/" Target = "_ blank"> Silicon Saxony.