Japan backs Rapidus chips

Japan approved another ¥631.5 billion for Rapidus on April 11, deepening its bet that a four-year-old startup can make leading-edge chips at home. (reuters.com) Japan’s industry ministry said the new money will speed research and development, and Reuters reported the latest package lifts Rapidus’ cumulative research support to ¥2.354 trillion. Jiji Press, citing the ministry, put cumulative state support since fiscal 2022 at up to ¥2.454 trillion. (reuters.com) (jiji.com) Rapidus is building a plant in Chitose, Hokkaido, and says it is preparing for mass production of 2-nanometer semiconductors in 2027. On April 11, the company also opened an analysis center and a chiplet-packaging unit next to its foundry. (rapidus.inc) (jiji.com) A 2-nanometer chip is a new generation of logic semiconductor, the kind used to run artificial intelligence systems, cloud servers and advanced devices. Japan lost ground in this part of the industry for decades and is now using public money to rebuild domestic capacity and reduce dependence on overseas suppliers. (reuters.com) (bloomberg.com) That push sits alongside a broader industrial policy. Bloomberg reported the government expects to inject a total of ¥2.6 trillion into Rapidus by the end of the current fiscal year, while the company seeks roughly ¥3 trillion in private financing and targets an initial public offering around fiscal 2031. (bloomberg.com) Rapidus was established in August 2022 and says it had capital of ¥274.95 billion as of February 27, 2026. The company says it had 1,024 employees as of December 1, 2025. (rapidus.inc) Its technology plan depends on outside partners. IBM said in June 2024 that it expanded a joint development partnership with Rapidus on chiplet packaging for 2-nanometer-generation semiconductors, building on an earlier collaboration on 2-nanometer process technology. (ibm.com) Rapidus also says it is working with imec, the Belgian semiconductor research group, and with equipment and materials suppliers clustered around Hokkaido. That matters because making advanced chips requires not just a factory, but a full chain of tools, chemicals, testing and packaging. (rapidus.inc) The company still has to prove it can win customers as well as build a process. Bloomberg reported part of the new funding is intended to support work for Fujitsu, one of the early clients Tokyo hopes can help turn Japan’s chip revival from a state project into a commercial business. (bloomberg.com) For now, the April 11 subsidy shows Tokyo is still willing to spend at scale to get Rapidus to 2027. The next test is whether the Hokkaido line can move from prototypes to volume production on schedule. (reuters.com) (rapidus.inc)