Japan Earmarks Another $5.4 Billion for Chip Startup Rapidus (1)

Japan is preparing as much as ¥802.5 billion ($5.4 billion) in additional aid for chip startup Rapidus Corp., a move that reflects Tokyo’s growing resolve to secure semiconductors during a time of heightened US-China tensions.

That brings the total amount of public money earmarked for the country’s effort to build an advanced chip contractor to a maximum ¥1.72 trillion, plus another ¥100 billion that’s been proposed. Japan’s Economy Ministry is also pushing for debt guarantees to encourage more private sector investment into the fledgling company.

Most of the world’s advanced logic chips used to develop artificial intelligence are manufactured ...