Japan's $15 billion Rapidus chip bet hinges on winning customers
SNPS•Rapidus, backed by $15 billion in state funding, is partnering with 17 chip design companies as it seeks customers for planned 2-nanometre production in the second half of the next fiscal year.
1. Seeking customers
Rapidus said it would partner with 17 companies, including Synopsys and Infosys, to help customers design chips. It needs to secure customers ahead of the planned launch of 2-nanometre contract production in the second half of the next fiscal year.
2. Competition and caution
Rapidus faces competition from TSMC, Samsung Electronics and Intel, as well as technological hurdles. CEO Atsuyoshi Koike said there is enough demand to support another leading-edge manufacturer, while some potential customers said they were cautious about switching from TSMC.
3. Long-term hurdles
Rapidus has started pilot operations with IBM, and Koike said preparations for mass production are progressing on schedule. Analysts said proving stable yields and building a viable business remain difficult; the company is targeting an IPO around the financial year ending March 2032.
