Rapidus Secures $1.7 Billion in Funding to Advance 2nm Semiconductor Manufacturing
Rapidus has successfully closed a significant funding round, raising 267.6 billion yen (approximately $1.7 billion) to accelerate its semiconductor manufacturing ambitions. This latest investment includes substantial backing from both the Japanese government and a consortium of leading private-sector companies, underscoring the strategic importance of advanced chip production in Japan’s technology landscape.
Government and Industry Collaboration Fuels Rapidus Growth
Of the total funds raised, 100 billion yen ($641 million) was provided by the Information-Technology Promotion Agency (IPA), following a rigorous selection process conducted by Japan’s Ministry of Economy, Trade and Industry in the autumn of last year. Rapidus was officially designated as the operator for this initiative in November 2025, paving the way for this significant public investment.
The remaining 167.6 billion yen ($1 billion) was contributed by 32 prominent private-sector companies, representing a cross-section of Japan’s industrial and technological leaders. Notable participants include Canon, Fujitsu, Sony, NTT, SoftBank, Honda, Kioxia, Denso, and Toyota, as well as major banks, trading companies, and technology firms such as IBM Japan. This broad coalition highlights the collective commitment to strengthening Japan’s position in the global semiconductor market.
Including the 7.3 billion yen raised at its founding, Rapidus now boasts a total stated capital of nearly 275 billion yen ($1.76 billion), positioning the company as a key player in next-generation chip development.
Progress Toward 2nm Chip Mass Production
Rapidus has already achieved a significant technical milestone by taping out a 2nm gate-all-around (GAA) test chip using ASML’s extreme ultraviolet (EUV) lithography tools in August of last year. The company’s proprietary 2HP process is demonstrating strong competitiveness, with a reported transistor density of 237 million transistors per square millimeter (MTr/mm²).
The company remains focused on its primary objective: transitioning from research and development to full-scale mass production of 2nm chips by 2027. This production will take place at the IIM-1 fabrication facility in Chitose, Hokkaido, in northern Japan, with an initial target capacity of approximately 25,000 wafers per month.
As Rapidus advances toward this ambitious goal, it plans to continue securing funding from both public and private sources, ensuring the resources necessary to drive innovation and maintain competitiveness in the rapidly evolving semiconductor industry.
