Broadcom of the United States would invest in a European Union-funded program to create a semiconductor industry in Spain, said Chief Executive Charlie Kawwas late Thursday.
“Excited to announce our decision to invest in Spain’s semiconductor ecosystem under their semiconductor support program,” Kawwas wrote on Twitter.
According to an emailed statement from Spain’s Economy Ministry, the project in which Broadcom would be participating might be worth $1 billion. Broadcom did not specify the amount of money it will invest.
The project would include the creation of “large-scale back-end semiconductors facilities unique in Europe,” according to the ministry, who added that no location has yet been chosen.
The Spanish government has stated that it will use up to 12 billion euros ($13 billion) of the European Union’s pandemic relief money to support the development of the semiconductor sector.
Prior to Broadcom, the Spanish government announced that US tech behemoth Cisco Systems Inc. would establish a new chip design center in the northeastern Spanish city of Barcelona.
Due to a global shortage of semiconductors and supply chain bottlenecks, the EU is attempting to strengthen its own chip sector and lessen its reliance on US and Asian supply.
