The funding, which was planned by 14 member nations, is expected to attract another $14.7 billion in private investments. Credit: European Union, 2018 Just weeks after Thierry Breton, the EU commissioner for industry, urged Europe to make its own chips, the bloc has announced up to $8.7 billion (€8.1 billion) in public funding for building microelectronics and communication technologies. The funding plan, put together by 14 EU member nations, was created as an Important Project of Common European Interest (IPCEI), a project category that takes advantage of rules that allow member states to pool resources and cooperate across borders. While the member states involved in the IPCEI will provide up to $8.7 billion in public funds, another $14.7 billion is expected in private investments, bringing total funding for projects under the plan to over $22 billion, EU Executive Vice President Margrethe Vestager said in a statement. This IPCEI, which is the EU’s largest to date, will see 56 companies across Europe — including startups, large enterprises, and small and medium-size enterprises — undertake a total of 68 projects, Vestager added. Some of the companies involved in the IPCEI include Bosch, STMicroelectronics, GlobalFoundries, Orange, and Continental Automotive. The direct result of the IPCEI, according to Vestager, will see the creation of 8,700 highly skilled jobs. The first direct products of the projects are expected to hit the market by 2025, she added. Vestager said that the IPCEI will ensure that taxpayers’ money is wisely spent and the aid will be “limited to the amount necessary for the project actually to go ahead.” “In addition, large beneficiaries will return part of the aid received if their projects turn out to be more profitable than foreseen. We call this a claw-back mechanism,” Vestager said. Further, the innovations arising out of the IPCEI will benefit all member states, Vestager said. The EU’s decision to aid chip-making and communication technologies such as 5G and 6G comes at a time when the US and China are locked in a battle for supremacy over chip manufacturing. Both nations have tried several strategies including partnering with other nations and banning the use of chips manufactured by companies that are headquartered in the other nation. Last month, the UK, which is no longer a part of the EU, announced a £1 billion chip manufacturing investment, which was heavily criticized for being insufficient to make any substantial difference. Related content news analysis Within two years, 90% of organizations will suffer a critical tech skills shortage Along with AI skills, skills in IT ops and cloud development are severely lacking, IDC reports. By Lucas Mearian May 31, 2024 7 mins Generative AI IT Jobs IT Skills news analysis Google partners with Magic Leap on mixed reality development The Magic Leap collaboration follows Google’s partnership to develop mixed reality devices with Samsung last year. By Matthew Finnegan May 31, 2024 3 mins Augmented Reality Virtual Reality Emerging Technology how-to Microsoft OneDrive cheat sheet: Using OneDrive in Windows If you have Windows 10 or 11, you have OneDrive. With this quick guide, you can learn how to sync, back up, and share files in OneDrive with built-in Windows tools. By Howard Wen May 31, 2024 15 mins OneDrive Cloud Storage Windows analysis Apple's mutating supply chain sees winners and losers Shifting manufacturing centers are generating fresh challenges. By Jonny Evans May 31, 2024 5 mins iPhone Manufacturing Industry Apple Podcasts Videos Resources Events SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe