In a move to bolster the chip industry, Germany plans to allocate €2 billion in subsidies to support 10-15 semiconductor projects, enhancing local production capabilities. This initiative follows Germany's earlier call for chip companies to apply for new subsidies as part of the European Chips Act, aimed at doubling the EU's global market share by 2030. However, setbacks include Intel delaying a €30 billion factory project in Magdeburg and the cancellation of a joint venture by Wolfspeed Inc. and ZF Friedrichshafen AG.
Meanwhile, South Korea is investing over 14 trillion won (approximately $10 billion) to support its semiconductor industry amid rising global competition. The government plans to increase tax credits for semiconductor companies and build a national AI computing center by 2030.
Amazon (AMZN, Financial) is intensifying its efforts to develop the Trainium2 AI chip, boasting four times the performance and three times the memory capacity of its predecessor. This development is part of Amazon's strategy to challenge NVIDIA's dominance in AI chips. Amazon has also invested $80 billion in Anthropic, a competitor to OpenAI.
