Japan approved an additional ¥631.5 billion ($4 billion) subsidy for chip startup Rapidus Corp.
The funding aims to accelerate the company's entry into the AI semiconductor market.
This capital supports Rapidus’s development work for IT giant Fujitsu Ltd., one of its first major clients.
The injection brings Japan’s total government investment in the project to approximately $16.3 billion.
Rapidus targets mass production of next-generation 2-nanometer chips.
The company aims to begin mass production by 2027 to reduce Japan’s reliance on overseas foundries.