GlobalFoundries, STMicroelectronics finalize pact for French semiconductor facility
jiefeng jiang

GlobalFoundries (NASDAQ:GFS) and STMicroelectronics (NYSE:STM) finalized an agreement to create a new, jointly-operated, 300mm semiconductor manufacturing facility in Crolles, France.
The companies said the program represents an overall projected cost of â¬7.5B for CAPEX, maintenance and ancillary costs.
The new facility will benefit from significant financial support from the France (administered by Bpifrance). The aid measure, in line with the goals set out in the European Chips Act and part of the 'France 2030' plan, has received approval from the European Commission, according to the companies.

"In partnership with ST in Crolles, we are further expanding GFâs presence within Europeâs dynamic technology ecosystem while benefiting from economies of scale to deliver additional capacity in a highly capital efficient manner," said GlobalFoundries President and CEO Thomas Caulfield.
STMicroelectronics' President and CEO Jean-Marc Chery noted that the manufacturing facility will support the company's $20B+ revenue ambition.
The agreement was initially announced in July 2022.

More on STMicroelectronics and GlobalFoundries

STMicroelectronics: Positive EU Framework
GlobalFoundries To Underperform In H2 2023 Due To Macro Headwinds