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Semiconductor manufacturing expansion in Germany

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2026-10-09 15:05 UTC → 2026-10-11 23:23 UTC · added ~~removed~~

Semiconductor manufacturers are expanding production capacity in Germany through significant industrial investments supported by state and European Union funding. In Erfurt, X-Fab has broken ground on a new facility with an investment of between 300 million and 400 million euros. Supported by 127.4 million euros in state aid, the plant will focus on micro-electromechanical systems and photonics for use in medical technology, data centers, and artificial intelligence infrastructure. Production is anticipated to begin by the end of 2028. In Dresden, Globalfoundries is executing its ‘Sprint’ project, a 1.1 billion euro expansion aimed at increasing annual production to over one million 300-millimeter wafers by late 2028. This project, which receives 495 million euros from the European Chips Act, focuses on technologies for ‘Physical AI’ to serve the automotive, aerospace, and defense sectors. Globalfoundries recently reached a construction milestone with the topping-out ceremony for the Dresden facility expansion. The project aims to position Dresden as Europe’s largest foundry location while strengthening resilient European supply chains and providing secure, localized data flows for critical infrastructure. In conjunction with the expansion, Globalfoundries announced its next-generation FDX Fusion semiconductor platform. This fully depleted silicon-on-insulator (FD-SOI) technology is engineered for Physical AI applications, such as robotics and smart vehicles, aiming to provide digital performance comparable to 7nm-class technology while balancing computing power with energy efficiency at the edge.

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