[News] Rapidus to Fully Automate 2nm Fab, Claiming Chip Delivery Times at One-Third of Its Competitors

According to a report by Nikkei, Japanese chip manufacturer Rapidus plans to establish a fully automated production line using robots and AI in northern Japan to produce 2nm chips for advanced AI applications, with mass production anticipated as early as 2027.

Reportedly, Rapidus claims that automated production will significantly accelerate production times, reducing chip delivery time to just one-third of that of its competitors. The company’s fab is expected to complete its external structure by October, with EUV lithography system set to arrive in December.

Compared to other companies already operating fabs, building a fully automated plant could give Rapidus a significant advantage. While the front-end of chip manufacturing are already highly automated, the back-end processes, such as packaging and testing, remain labor-intensive.

Rapidus CEO Atsuyoshi Koike stated that this approach will deliver higher performance and faster turnaround times for the same 2nm products compared to other competing chipmakers.

Per a report from Tom’s Hardware, Rapidus is currently two years behind TSMC and Samsung, both of which are expected to begin 2nm chip production in 2025. If Rapidus can deliver chips faster without compromising on price or quality, it may secure a place in the market.

Despite the optimistic outlook, Rapidus faces operational challenges. The company revealed that it will need JPY 2 trillion (approximately USD 14 billion) to begin operation in 2025, and at least JPY 5 trillion in total for the start of mass production.

Although Rapidus has received JPY 920 billion in subsidies from the Japanese government, private companies remain hesitant to invest due to the company’s lack of track record.

Atsuyoshi Koike added that, given the current situation, it is difficult for Rapidus to secure private financing. The company is discussing ways to make financing easier, such as implementing a government loan guarantee system.

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(Photo credit: Rapidus)