EU approves €1.3B support for Italian semiconductor plant
The European Commission has approved EUR 1.3 billion in Italian state aid to support Silicon Box in building an advanced semiconductor packaging and testing facility in Novara.
The EUR 3.2 billion project aims to strengthen Europe’s technological autonomy and supply chain resilience, aligning with the European Chips Act.
The facility will focus on advanced packaging solutions that integrate chiplets using panel-level instead of wafer-level packaging, along with 3D integration techniques. The plant will handle key manufacturing steps, namely chip assembly, packaging and testing. The plant, which is expected to be operating at full capacity in 2033, is expected to process approximatively 10,000 panels per week.
Silicon Box has committed to fostering broader benefits for the EU semiconductor value chain, advancing next-generation packaging technologies, and providing education and workforce training.
Set to reach full capacity by 2033, the plant will play a pivotal role in addressing Europe's semiconductor needs and managing supply chain challenges.
"The €1.3 billion Italian measure approved today supports a first-of-a-kind facility for advanced packaging of chips. It ensures that key players in the telecommunications, automotive, or consumer electronics sectors have access to high-performant, reliable and energy efficient chips. This will support our digital and green transitions and help create high-skilled employment. At the same time, we ensure that possible distortions of competition are limited," says Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, in the press release.