--- title: Tower Semiconductor puts $3bn into Japan, and Tokyo is... description: Tower Semiconductor is investing roughly $3bn to expand 300mm silicon photonics and silicon germanium capacity in Japan, with Japan's METI providing... canonical: https://daily.dev/posts/tower-semiconductor-puts-3bn-into-japan-and-tokyo-is-paying-for-a-third-of-it-gwxpo9hdx twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Tower Semiconductor puts $3bn into Japan, and Tokyo is paying for a third of it | daily.dev og:description: Tower Semiconductor is investing roughly $3bn to expand 300mm silicon photonics and silicon germanium capacity in Japan, with Japan's METI providing... og:url: https://daily.dev/posts/tower-semiconductor-puts-3bn-into-japan-and-tokyo-is-paying-for-a-third-of-it-gwxpo9hdx og:image: https://api.daily.dev/og/posts/gwXPo9hDx.png og:image:alt: Tower Semiconductor puts $3bn into Japan, and Tokyo is paying for a third of it og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Tower Semiconductor puts $3bn into Japan, and Tokyo is paying for a third of it **[The Next Web](https://daily.dev/sources/tnw)** · 4 min read · 0 upvotes · 0 comments ## Summary Tower Semiconductor is investing roughly $3bn to expand 300mm silicon photonics and silicon germanium capacity in Japan, with Japan's METI providing approximately $1bn in grants. The two-track plan repurposes an existing facility and builds a new 300mm fab next to Fab 7 in Uozu. Full production readiness for track one is expected in Q4 2027, with track two projected to be accretive from 2029. Tower also restructured its TPSCo joint venture to take full ownership of the 300mm Fab 7. The investment is driven by surging demand for optical interconnects in AI data centres, where copper cables hit bandwidth limits at scale. Risks include construction delays, equipment lead times, and unfinished negotiations on track two and METI grant covenants. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Similar posts on daily.dev - [Japan's gamble to turn island of flowers into global chip hub](https://daily.dev/posts/japan-s-gamble-to-turn-island-of-flowers-into-global-chip-hub-hqugx0izj) · Hacker News · 1 upvotes · 0 comments - [GlobalFoundries reportedly sees strong demand for Chinese optical modules](https://daily.dev/posts/globalfoundries-reportedly-sees-strong-demand-for-chinese-optical-modules-p1anytv7w) · The Next Web · 0 upvotes · 0 comments - [GlobalFoundries Secures $300 Million CHIPS Award for Silicon Photonics Research](https://daily.dev/posts/globalfoundries-secures-300-million-chips-award-for-silicon-photonics-research-etaeat5ed) · The Quantum Insider · 0 upvotes · 0 comments - [Japan and the US are discussing a GlobalFoundries chip plant under their $550bn pact, Nikkei reports](https://daily.dev/posts/japan-and-the-us-are-discussing-a-globalfoundries-chip-plant-under-their-550bn-pact-nikkei-reports-2swell6a4) · The Next Web · 0 upvotes · 0 comments - [Coherent Breaks Ground on Expanded Texas Facility, Scaling AI’s Optical Backbone](https://daily.dev/posts/coherent-breaks-ground-on-expanded-texas-facility-scaling-ai-s-optical-backbone-g4tln9p1q) · NVIDIA · 0 upvotes · 0 comments --- Tags: [#ai-infrastructure](https://daily.dev/tags/ai-infrastructure) [View this post on daily.dev](https://daily.dev/posts/tower-semiconductor-puts-3bn-into-japan-and-tokyo-is-paying-for-a-third-of-it-gwxpo9hdx) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Tower Semiconductor puts $3bn into Japan, and Tokyo is paying for a third of it","url":"https://daily.dev/posts/tower-semiconductor-puts-3bn-into-japan-and-tokyo-is-paying-for-a-third-of-it-gwxpo9hdx","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/tower-semiconductor-puts-3bn-into-japan-and-tokyo-is-paying-for-a-third-of-it-gwxpo9hdx"},"datePublished":"2026-07-14T12:15:37.904Z","dateModified":"2026-07-14T12:15:59.522Z","description":"Tower Semiconductor is investing roughly $3bn to expand 300mm silicon photonics and silicon germanium capacity in Japan, with Japan's METI providing...","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/74f275af1e741dc4bfcafeca4b8f7586?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/74f275af1e741dc4bfcafeca4b8f7586?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"The Next Web","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"The Next Web","logo":"https://media.daily.dev/image/upload/t_logo,f_auto/v1/logos/tnw","url":"https://daily.dev/sources/tnw"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/tower-semiconductor-puts-3bn-into-japan-and-tokyo-is-paying-for-a-third-of-it-gwxpo9hdx","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":0},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"ai-infrastructure","timeRequired":"PT4M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"The Next Web","item":"https://daily.dev/sources/tnw"},{"@type":"ListItem","position":3,"name":"Tower Semiconductor puts $3bn into Japan, and Tokyo is paying for a third of it"}]} ```