Rapidus needs $32 billion to get into production of 2nm chips by 2027, but has only received $9.6 billion.
The government plans to put in another $674 million this year and is being pressured by parliamentarians to say how the $27 billion shortfall is to be made up.
“The government should reveal the full picture of how it’s going to share with the private sector, as well as the basic policy and roadmap for the assistance,” said Satoshi Honjo from the opposition Constitutional Democratic Party.
The government expects private industry to invest another $675 million on top of the $50 million it has already invested.
However the Nikkei quotes an exec from one of the companies backing Rapidus saying: “We have no choice but to consider investing since the government requested it, but we don’t want to actively invest in a company that doesn’t even have a prototype.”
Another parliamentarian, Kotaro Tatsumi, warned of another Elpida Memory situation if the government engages in “unlimited commitments of government funds.”
Elpida went bust in 2012 with debts of $5.6 billion
