Shulou(Shulou.com)11/24 Report--

CTOnews.com, EU member states agreed to invest more than 43 billion euros in developing the chip industry, aiming to support local chip supply chains and reduce dependence on US and Asian manufacturers.

CTOnews.com has learned that the Czech Republic, which holds the rotating presidency of the European Union, said EU envoys unanimously supported the revised version of the European Commission proposal. EU ministers will meet on December 1 to approve the chip plan, although it still needs to be discussed with the European Parliament next year before it can become law.

After global chip shortages and supply chain bottlenecks hit automakers, healthcare providers and telecoms operators, the EU executive made its proposal, hoping state subsidies would help the EU capture a 20 percent share of global chip capacity by 2030. Europe's share of chip production is now 8%, down from 24% in 2000.

The envoys agreed on changes to the committee's proposal, including allowing states to subsidize a wider range of chips, not just the most advanced. Subsidies will cover chips that bring innovation in computing power, energy efficiency, environmental benefits and artificial intelligence.

EU countries also sought to limit the powers of the European Commission, saying its requests for information from companies during a crisis must be appropriate and security-focused, according to an EU document seen by Reuters.

EU lawmakers still face the task of negotiating funding for the project, the document said.

The European Commission has earmarked funds from unused research and other projects, drawing criticism from some EU countries that it may unfairly favour countries that already have chip facilities or are ready to attract chipmakers.

Welcome to subscribe "Shulou Technology Information " to get latest news, interesting things and hot topics in the IT industry, and controls the hottest and latest Internet news, technology news and IT industry trends.