September 6, 2024 /SemiMedia/ — Intel is set to collaborate with Japan’s national research institutions to launch a state-of-the-art semiconductor R&D center aimed at enhancing the country's chip manufacturing capabilities in equipment and materials, sectors where Japan excels. The facility, which will house cutting-edge extreme ultraviolet (EUV) lithography equipment, is expected to be completed in three to five years. This center will be the first in Japan to allow industry players to jointly access EUV equipment for prototyping and testing, fostering collaboration across the sector.

The National Institute of Advanced Industrial Science and Technology (AIST), under Japan's Ministry of Economy, Trade and Industry, will oversee the facility’s operations, while Intel will contribute its expertise in EUV-based chip manufacturing. The project is anticipated to involve an investment of several hundred million dollars. Given that EUV machines are essential for producing semiconductors at 5nm and smaller scales—critical for increasing chip performance through higher transistor density—their cost, which exceeds 40 billion yen ($273 million) per unit, presents a significant barrier for individual suppliers of equipment and materials.

Currently, many Japanese companies depend on EUV equipment at international research hubs like Belgium's Imec for their development needs. While Japan’s Rapidus initiative aims to bring EUV technology for mass semiconductor production by the end of the year, domestic research institutions still lack access to such advanced equipment. Establishing EUV facilities in Japan would alleviate some of the hurdles posed by strict U.S. export controls on EUV-related technologies to China, which complicate and delay the repatriation of research data to Japan.

The global EUV lithography market is dominated by Dutch company ASML, but the process of semiconductor manufacturing involves over 600 individual steps, making the development of associated tools and materials crucial. Japan boasts significant players in this space, such as Lasertec, which commands the entire market for EUV inspection equipment, and companies like JSR, which lead in photoresist materials essential for circuit creation. Through this new research center, Intel aims to deepen its partnerships with these key Japanese equipment and material suppliers, reinforcing its strategic position in the semiconductor supply chain.