European Commission approves Government semiconductor investment

The European Commission has approved a government-backed semiconductor investment in Analog Devices Inc.’s €630 million Project FANFARE, which will result in 600 new jobs over the next five years.

FANFARE is part of the European Important Project of Common European Interest (IPCEI), which involves microelectronics and communication technologies, and is a state aid tool that facilitates cross border projects that benefit the EU.

Minister for Enterprise, Trade and Employment, Simon Coveney, said: “My Department warmly welcomes the European Commission’s approval of Ireland’s participation in the IPCEI on Microelectronics and Communications Technologies.

“The Irish semiconductor industry has grown deep roots over 45 years and this is an opportunity for Ireland to contribute to the development of European capacity and capability in increasingly vital frontier technologies.”

Ireland is one of 14 EU members who have companies involved in the IPCEI, a total of 68 projects from 56 companies, with the hope of connecting an ecosystem of start-ups, SMEs and large enterprises with the EU.

The states involved will provide up to €8.1bn in funding, which will lead to an estimated €13.7bn from private investors.

Analog Devices Inc, based in Limerick, will work with other companies from different countries on their project, which will create a further 520 jobs in its construction phase.

Semiconductor chips have important applications for health, energy, communications, and automation, and Ireland’s participation in the IPCEI is showing the country’s commitment to EU ambitions whilst strengthening the semiconductor industry in Ireland.

Photo: Vince Roche, CEO & Chair, Analog Devices Inc; An Taoiseach, Leo Varadkar T.D. and Michael Lohan, CEO, IDA Ireland. Pic. Brian Arthur