In a significant boost for European semiconductor independence, Singapore-based startup Silicon Box announced a €3.2 billion ($3.5 billion) investment to build a new chip factory in northern Italy. This move comes amid growing concerns about Europe's reliance on Asian chipmakers and aims to strengthen the region's domestic supply chain.
Industry Minister Adolfo Urso hailed the project, stating, "Recent global upheavals highlight the need for a more resilient semiconductor supply chain in Europe." The factory is expected to generate 1,600 new jobs at full capacity, with additional positions created during construction and within the supporting supply and logistics network.
This announcement follows unsuccessful attempts by the Italian government to attract investment from chipmaking giant Intel Corp. While Silicon Box recently secured $200 million in funding, details regarding the source of financing for the Italian project remain unclear.
The project represents a significant commitment by Silicon Box, with operational costs estimated at €4 billion over the next 15 years. Industry analysts remain cautious, however, as the company is a young startup compared to established players.
"This is a positive development for Europe's semiconductor ambitions," said Nadia Rossi, an analyst at Milan's Institute for Technology and Innovation. "However, successfully executing such a large-scale project will be crucial for Silicon Box to establish itself as a major player."
The Italian government is expected to provide further details on potential incentives or collaborations to support the project in the coming weeks. With global chip shortages continuing to disrupt various industries, Silicon Box's investment has the potential to be a game-changer for European technological self-sufficiency
