GF and STMicroelectronics finalize agreement for new 300mm fab in France

Misha Lu, DIGITIMES Asia, Taipei 0


GlobalFoundries and STMicroelectronics have announced the successful conclusion of their agreement to establish a jointly-operated, high-volume semiconductor manufacturing facility in Crolles, France. The agreement was initially announced on July 11, 2022.

Thomas Caulfield, the President and CEO of GlobalFoundries, emphasized the significance of the partnership with ST in Crolles, as it expands GlobalFoundries' presence within Europe's semiconductor ecosystem. "Together we will deliver GF's market leading FDX technology and ST's comprehensive technology roadmap, in alignment with customer demand which is expected to remain high for Automotive, IoT, and Mobile applications over the next decades," said Caulfield.

GF's proprietary FDX process technology platform is based on fully-depleted silicon-on-insulator (FD-SOI) technology.

Jean-Marc Chery, President and CEO of STMicroelectronics, acknowledged the importance of the achievement for both ST and GlobalFoundries, as well as for Europe as a whole. He credited the French government and the European Commission for their support. Chery emphasized the goal of strengthening the European and French FD-SOI ecosystem and increasing capacity for European and global customers in advanced technologies for key markets such as automotive, industrial, IoT, and communication infrastructure. These efforts align with the ongoing transition to digitalization and decarbonization. Chery also noted that the new manufacturing facility will contribute to their ambition of achieving over US$20 billion in revenue.

The program is estimated to incur an overall cost of EUR7.5 billion, covering CAPEX, maintenance, and ancillary expenses. The new facility will receive EUR2.9 billion of support from the French government, as eeNews Europe reported. This aid measure aligns with the objectives outlined in the European Chips Act and is part of the "France 2030" plan, which recently gained approval from the European Commission.

The fab is to supply FDSOI circuits used for low power and wireless designs as well as some bulk CMOS. At full capacity in 2026 the plant will produce 620,000 wafers per year, 58 percent for Globalfoundries and 42 percent for ST.