Japan quadruples chip and physical AI spending, deepens state backing for Rapidus

Levi Li

, Jerry Yang, Taipei, DIGITIMES Asia

Dec 26, 2025, 16:59 0

Japan’s cabinet under Prime Minister Sanae Takaichi approved the budget on December 26; it will go to parliament in early 2026. Credit: AFP

Japan is preparing a major expansion of state support for advanced semiconductors and artificial intelligence, with the Ministry of Economy, Trade and Industry (METI) set to nearly quadruple related funding from fiscal year 2026, starting in April 2026.

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