Having already discussed the significance of the subsidy for Infineon's shares in the last article, in this article we want to look at the political background.
Federal Minister of Economics Robert Habeck has emphasized the importance of the Infineon project $IFX (-1,86 %) project in Dresden. An investment of 3.4 billion euros will strengthen chip production in Germany and Europe. The European Commission has approved state funding of 920 million euros as part of the European Chips Act. 💰
Habeck sees this not only as an opportunity to reduce dependencies in microelectronics, but also as a sign that Germany is an attractive location for innovative technologies. The new 300 mm front-end production line, called MEGAFAB-DD, will enable Infineon to produce different technologies on the same machines without having to retool them at great expense.
What do you think of this project? Do you think that such investments can secure Germany's competitiveness in the long term? 📈
