EU Enacts $48 Billion Chips Act in Bid To Boost Production (bloomberg.com) 21
The European Union's plan to bolster domestic semiconductor production will become law after ministers completed the final approval on Tuesday. From a report: The EU's Chips Act, which was approved by the European Parliament earlier this month, will take effect once it's published in the bloc's Official Journal. The European Commission first proposed the $47.5 billion Chips Act as part of an ambitious goal of producing 20% of the world's semiconductors by 2030. Numerous companies, including Intel and STMicroelectronics, have already announced new sites in Europe.
What about robotics (Score:2)
Robotics is where they should have invested. If they have robots, coupled with universal basic income, they can win in manufacturing and dramatically reduce the cost of many things.
Re: (Score:3, Funny)
Re: (Score:3, Interesting)
Re:What about robotics (Score:5, Interesting)
The problem with EU chip production is that it only accounts for 10% of the world market, and at only 22 nanometers or above. It used to be 44%. The US market share has declined too, while South Korea, Taiwan and China have all increased their share.
I wonder where this ends. (Score:3)
The US subsidized semiconductor manufacturing to the tune of $40 billion. The EU sees our $40 billion and raises $7. No doubt China and Taiwan are quietly doing the same. "But but but China!" stutters Congress and throws another bushel of cash on the fire.
Anyone want to take bets for when there's a global semiconductor glut and prices crash? I kind of want to add up what percent of global production each region wants to see how much it exceeds 100%.
Re: (Score:3)
Re: (Score:2)
Given the ever escalating demand, especially as countries seek to reduce their reliance on potential geopolitically unreliable partners, I doubt there will be a crash.
That's possible. I'm, however, reminded of the wild DRAM price swings in the 90s. Prices would spike, everyone would pile on making as much memory as they could, a glut would form, there'd be a crash, and at least one company would pull out of the business. Lather, rinse, repeat.
Re: (Score:2)
Re: I wonder where this ends. (Score:2)
Re: (Score:2)
I get your main point, but we are definitely not in a recession.
Re: (Score:2)
We aren't in a recession, and just because every single issue isn't solved doesn't mean the US can't improve national security by onshoring semiconductor manufacturing.
Re: (Score:3)
Anyone want to take bets for when there's a global semiconductor glut...
You sweet, naive summer child, this money goes towards regulatory capture, yachts, and private jets, with just a nominal increase in chip production, all on the backs of the slave working class. There was no income tax before 1913, now we have money collected from workers being funneled to the leisure class through things like this and the forever wars.
Re: (Score:2)
You sweet, naive summer child, this money goes towards regulatory capture, yachts, and private jets, with just a nominal increase in chip production, all on the backs of the slave working class.
*cough*Foxconn*cough*.
No doubt executives and investors are busily capturing as much of the free money as possible. I suspect they can't grab all of it without at least some showing of building factories there were planning on building anyway.
Re: (Score:2)
Trump proved this, and the current political situation in the USA also says being able to carry on independently is a good idea "Make the EU great again" sort of thing.
Re: (Score:2)
OR...the EU sees relying on the USA/Asia as a long term risk. Trump proved this, and the current political situation in the USA also says being able to carry on independently is a good idea "Make the EU great again" sort of thing.
No doubt. I think the last five or so years have proven any given country's leadership can care about things other than economic well-being. And we can't trust any particular government to be acting with good intentions. Not the US, not China, not Russia, not even the EU countries, not in all cases.
My objection to these sorts of policies is that we rarely seem to acknowledge what it's costing us. I don't mean the $40 billion, I mean the opportunity cost. If the US didn't borrow that $40 billion, who else mi
The real story here (Score:2)
EVERYONE with a budget it rushing to be in charge of double digit percentages of the chips being made for cars, phones, computers, GPUs, or anything else vaguely important. You know why? If China invades Taiwan to take over the major hub for chipmaking, they can hold computing in general over everyone's heads and coerce them. If you think they wouldn't do that then first of all you're an idiot and secondly, look up their Belt and Road
RISC-V (Score:1)
Hopefully some of these funds will be directed towards RISC-V based, EU-grown, mass produced silicon.
RISC-V is the hot new CPU kid in town, and it's nice to see its ecosystem picking up steam lately. But if you go looking for actual products, it is mostly IP cores designed in US, actual silicon made in China. Other places doing university grade FPGA based projects, prototype silicon or similar, not mass production.
In terms of being less dependent on other countries for computing needs, RISC-V is a near perf
Hey, I can open a fruit stand too (Score:2)