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Description

Reinforced action should be taken to create a sustained demand for advanced semiconductors through the development of the EU advanced technology ecosystem. European companies could help achieve this demand by offering growth incentives for fabless chips and AI-driven system design. In terms of financing needs, public and private investments are estimated between EUR 20 and 40 billion depending on the option chosen. EUR 3 to 4 billion in public and private investments could be mobilised to foster the growth of fabless chip design companies across the EU through funding under the next EU budget, Member States, and relevant industries and private investors. 

As a first step, an informal call for expressions of interest may be launched. After analysis of submitted expressions, a call for proposals may follow. 

Keys facts and figures

First ever EU semiconductor plant First ever EU semiconductor plant combining advanced chips and packaging
€20-40 billion Initial investment to be mobilised
Strategic industries Fostering innovation, customisation and prototyping for strategic industries, such as defence & automotive
EU semiconductor ecosystem Crucial input for sovereign and innovation-rich EU semiconductor ecosystem

Estimated preliminary timeline

  1. 3 June 2026

    Pilot announcement