Let's Talk 'Bout That Dresden Expansion!
Chip production companies to put 1.1 billion euros in Dresden's development
Looks like US chipmaker Globalfoundries is planning a major moves in Dresden, Germany. According to reports, they're eyeing a hefty 1.1 billion euros investment into the Saxon state capital's factory over the next few years. Sounds like a big deal!
Industry insiders are buzzing about the expansion, with the German government potentially chipping in several hundred million euros for the project. However, the exact amount is still up in the air, as the final funding approval is still pending.
MP Oliver Schenk (CDU) of Dresden spilled the beans about the German government's approval of the project's start last Friday. This allows Globalfoundries to begin critical steps, like securing key machinery, even before the funding approval actually gets the green light.
Globalfoundries, which already operates Europe's largest chip factory in Dresden, has been locking horns with the economics ministry over subsidies for quite some time now. They've been feeling a bit snubbed compared to competitor TSMC, who received a whopping 5 billion euros in state subsidies for a new plant in Dresden.
Both Globalfoundries and the Federal Ministry of Economics declined comment when approached by the press. But hey, who needs commentary when the action is speaking for itself! The expansion plans have been in the works for about four years now, so it's about time we saw some progress, wouldn't you agree?
The expansion of Globalfoundries' factory in Dresden, Germany, is expected to be a significant event in the technology industry, as it involves a potential investment of 1.1 billion euros. The finance sector could play a role, with industry insiders hinting at possible government funding for the project, although the exact amount is yet to be confirmed.
