24 May, 2022 @ 18:00
1 min read

Spain splashing out over €12 billion to develop micro chip sector over next five years

Spain splashing out over €12 billion to develop micro chip sector over next five years
Cordon Press image

SPAIN’S cabinet has approved plans to spend €12.25 billion over five years in developing the country’s micro chip and semi-conductor sector.

The investment has gone up by over €1 billion from what Prime Minister, Pedro Sanchez, proposed in early April.

A lot of the money is coming from European Union Covid-19 funding to develop new projects and revitalise industries following the pandemic.

Economy Minister, Nadia Calviño, revealed on Tuesday that €9.3 billion will be used to build new component factories.

Nadia Calviño said: “The aim is to comprehensively develop the design and production capacities of Spain’s microelectronics and semi-conductor industry, covering the entire process from design to chip manufacturing.”

The five-year investment will subsidise domestic semiconductor production capacity in leading-edge and mid-range semiconductor manufacturing to the tune of €9.3 billion.

Over €1.1 billion will go to research and development with chip design getting €1.3 billion.

It will fund research and development with a €1.1 billion subsidy and €1.3 billion allocated to chip design.

Money will also back Spanish companies in strategic projects and a €200 million fund will be set up to fund start-ups and enhancements in the semiconductor industry in Spain.

“Lack of support, commitment, vision or even a coherent strategy were some of the reasons why the chip industry has no presence in Spain so far, “ Calviño commented.

“We want Spain to play a relevant role in this technological field, the role it deserves, and European funds offer an extraordinary opportunity,” she added.


Alex Trelinski

Alex worked for 30 years for the BBC as a presenter, producer and manager. He covered a variety of areas specialising in sport, news and politics. After moving to the Costa Blanca over a decade ago, he edited a newspaper for 5 years and worked on local radio.

1 Comment

  1. That’s ridiculous and burning of cash from the EU taxpayer! Spain has no proven tradition with chip design and manufacturing. To compare the numbers: Intel will just build a chip-factory in East Germany for 17 billion Euros. Within the coming 10 years, South Korean electronic giant Samsung will invest 300 billion Dollars into chip design and manufacturing. You have to know, that the life cycle of a chip-generation is not longer than 4 years. Afterwards you have to build a new factory from scratch with another chip-technology and a better sanitary environment to be competitive on the global chip market. Who then will spend another 12 billion Euros to Spain? It would have been better, if the EU promotes a joint European chip initiative, investing at least 100 billion Euros.

    Location : Germany

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Malaga Feria
Previous Story

Proposed feria booze ban panned in Spain’s Malaga

British teenager may never walk again after smashing head-first into shallow end of Magaluf beach club swimming pool on Spain's Mallorca
Next Story

British teenager may be paralysed after diving head-first into shallow end of Magaluf swimming pool on Spain’s Mallorca

Latest from Business & Finance

Go toTop

More From The Olive Press