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Rapidus proposes "Hokkaido Silicon Valley" but faces water and energy infrastructure needs

Chiang, Jen-Chieh
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Japanese semiconductor manufacturer Rapidus, which aims to mass-produce 2nm chips, has decided to set up a factory in Chitose City, Hokkaido. Rapidus and the Hokkaido government have begun to propose the "Hokkaido Silicon Valley" concept, hoping to create a high-tech cluster similar to Silicon Valley in Hokkaido.

However, in addition to the question of whether Rapidus itself can successfully mass-produce 2nm chips, there are also infrastructure needs in Hokkaido to support the most advanced process wafer factories, such as water resources and energy.

The Hokkaido Silicon Valley concept is to connect four locations, including Chitose City, where the Rapidus semiconductor plant is located, as well as Tomakomai City, Sapporo City, and Ishikari City.

Tomakomai City is located next to Chitose City and is a port city as well as the landing point for submarine cables connecting to Hokkaido Island.

Sapporo City is the capital of Hokkaido and is about an hour's drive from Chitose City. It is a center of information with a population of 2 million people.

Isikari City is located next to Sapporo City and is home to data centers that use renewable energy such as offshore wind power. Due to the overconcentration of data centers in large cities such as Tokyo, Ishikari City and other areas have been selected as evacuation sites for data centers, where renewable energy can be used nearby.

Connecting these four locations, including Chitose City, to create a cluster of high-tech companies in the fields of semiconductors, renewable energy, and digital industries is the idea of Hokkaido Silicon Valley.

According to Rapidus CEO Atsuyoshi Koike, the goal of this concept is to form a research and development hub that is on par with the Silicon Valley in America.

In terms of water resources, Rapidus expects to need 4,000 cubic meters of water per day for trial production in 2025. By the time it goes into mass production in 2027, it will need tens of thousands of cubic meters of water per day, which is equivalent to the daily water consumption of 90,000 people in Chitose City.

Currently, Chitose City and the Hokkaido government are drafting a sewerage improvement plan, and the construction costs are being applied for support from the Japanese central government.

In terms of energy, Hokkaido Electric Power Company has established a dedicated unit to supply Rapidus with sufficient carbon-neutral electricity. In addition, to accommodate companies that will gather due to Rapidus's factory, the Chitose City government and Mitsubishi Corporation will work together to build an industrial zone and office area that uses renewable energy and hydrogen energy.

According to reports from Nikkei and Bloomberg, Rapidus decided to set up a factory in Chitose City in February 2023. In May of the same year, they held a factory construction plan briefing in Chitose City, where they first proposed the Hokkaido Silicon Valley concept. Hokkaido Governor Naomichi Suzuki and IBM Senior Vice President Dario Gil also expressed their support.

Rapidus is trying to form a semiconductor supply chain in Chitose City or the Hokkaido Valley area. The Belgian research institute IMEC, which is collaborating with Raidus on technology, and American semiconductor equipment manufacturer Lam Research have both said they are planning to establish facilities in Hokkaido to support Japan's 2nm chip mass production technology development plan.

Article translated by Judy Lin