The European Commission has sanctioned €8.1 billion in public funding to foster research, innovation, and the first industrial implementation of microelectronics and communication technologies across the value chain. This initiative, termed the Important Project of Common European Interest (IPCEI), is set to unlock an additional €13.7 billion in private funding, totaling the investment to nearly €22 billion. A total of 56 firms, inclusive of SMEs and startups, will execute 68 distinct projects under this IPCEI.
A collective endeavour of 14 European Member States, including Austria, Finland, France, and Germany, the IPCEI promises the first wave of novel products by 2025, with the overall project scheduled to culminate by 2032. The project is projected to generate approximately 8,700 job opportunities.
Central to the initiative's mission is the green transition. By focusing on the full value chain - from materials and tools to chip designs and manufacturing processes - the IPCEI aims to enable the creation of innovative, energy-efficient microelectronics and communication systems, thereby promoting greener technologies. These initiatives will support technological advancement in sectors like communications (5G and 6G), autonomous driving, AI, and quantum computing, and will facilitate energy firms in their transition towards more sustainable practices.
Aiding in overcoming significant market failures in communication technologies, the project will fill in gaps that private initiatives are unable or unwilling to risk due to financial and technological uncertainties. The Commission asserts that the IPCEI will contribute to several EU goals, including creating a greener, digital, secure, resilient, and sovereign economy. With its high ambitions and willingness to bear the associated risks, public support is deemed crucial for the project's success.
Commissioner for the Internal Market, Thierry Breton, stated that this approval reflects the positive impact of the EU Chips Act, leading to significant public and private investments in the European semiconductor value chain. The investments made into these innovative companies symbolise a commitment to Europe's technological and industrial leadership in communication technologies, ensuring economic and supply security.
