The European Chips Act, the law that will mobilize 43 billion in investment, comes into force across the EU. Founded on three pillars with a solid financial architecture, the Chips Act aims to double the EU's global market share in semiconductors by 2030, from 10 percent to at least 20 percent. A total of 3.3 billion euros will come from the Union's common budget.
Two months after the co-legislators gave the final green light, the European Chips Act - the EU's microchip legislation - officially entered into force last 21 September. For the digital sovereignty of the European Union is one of those moments that will go down in history.
From this moment on, all the actions envisioned by Brussels can be implemented by the EU institutions and the Twenty-seven to achieve one of the most ambitious goals: to double the EU's global market share in semiconductors by 2030, from 10 percent to at least 20 percent. That is equivalent to quadrupling microchip production, given the fact that the sector is itself set to double in the next decade.
The European Chips Act puts in place "a comprehensive set of measures to ensure the EU's security of supply, resilience and technological leadership in semiconductor technologies and applications," the European Commission recalls in a note. But it is the financial architecture that shows the Union is serious: the European Chips Act will mobilize 43 billion euros in public and private investment, including 3.3 billion from the EU budget, focusing on three key pillars: the initiative Chips for Europe, a new framework to ensure security of supply and resilience and a mechanism to monitor the semiconductor supply chain.
To discover more about it, read also EU's plan to overcome semiconductors shortage: the Chips Act.
The development of the investment landscape in Europe with the Chips Act
Since the proposal of the European Chips Act in February of the previous year, Europe has witnessed a surge in industrial investments. A remarkable 90 billion euros in investments in Europe's semiconductor sector has been announced by the President of the European Commission, Ursula von der Leyen, signalling the growing importance of the continent in this industry.
