Pure-play foundry GlobalFoundries plans to expand its manufacturing capabilities at its Dresden, Germany fab, investing €1.1 billion.
The production capacity increase will allow GF to produce more than 1 million wafers per year by the end of 2028. GF claims this will be the largest site of its kind in Europe.
In addition to the GF investment, the expansion will be supported by the German federal government and the State of Saxony under the European Chips Act.
GF said the facility will be upgraded to offer end-to-end European processes and data flows for semiconductor security requirements.
“The investment in chip manufacturing in Dresden sends a signal that Germany wants to play an active role in shaping the development of the global semiconductor market,” said Friedrich Merz, chancellor of Germany. “Germany already plays a leading role in microelectronics in Europe. With its national microelectronics strategy, the federal government is setting the course for further expanding this strength.”
The expansion
Expanding the Dresden fab will focus on GF’s differentiate technologies for Europe, including:
- Low power
- Embedded secure memory
- Wireless connectivity
GF said these sectors are quickly evolving due to the rise in physical AI technologies.
Silicon Labs deal
Meanwhile, GF and Silicon Labs have expanded their partnership for wireless technologies and U.S.-based semiconductor manufacturing.
The companies call the collaboration the first time this process technology will be introduced in the U.S. and aims to accelerate the development and production of wireless solutions at its Malta, New York, fab.
Under the deal, Silicon Labs’ wireless system-on-chips (SoCs) will be manufactured on GF’s 40 nm ultra-low power platform and with its embedded SuperFlash technology.
