Published by Global Banking & Finance Review®
Posted on October 28, 2025
1 min readLast updated: January 21, 2026
Add as preferred source on GoogleGlobalFoundries will invest €1.1 billion in its German facility to boost chip production, supported by the German government and the European Chips Act.
(Reuters) -U.S. chipmaker GlobalFoundries on Tuesday said it will invest 1.1 billion euros ($1.28 billion) to expand manufacturing capabilities at its German facility as it looks to increase production.
The Dresden site investment will expand the production capacity to exceed one million wafers annually by the end of 2028, the chipmaker said in a statement.
"As a part of the project, the facility will be upgraded to offer end-to-end European processes and data flows for critical semiconductor security requirements," GlobalFoundries said.
The expansion project, named SPRINT, is expected to be supported by the German federal government and the State of Saxony under the framework of the European Chips Act.
European Union approval for the full program is expected later this year, GlobalFoundries added.
The German government is expected to support the expansion of the production site with several hundred million euros, Handelsblatt had reported in June.
The chipmaker has invested more than 10 billion euros in the Dresden site since 2009.
($1 = 0.8575 euros)
(Reporting by Juby Babu in Mexico City; Editing by Vijay Kishore)
Semiconductor manufacturing is the process of creating semiconductor devices, which are essential components in electronic devices, including computers, smartphones, and other technologies.
Production capacity refers to the maximum output that a manufacturing facility can produce in a given period, often measured in units or volume.
The European Chips Act is a legislative framework aimed at boosting the semiconductor industry in Europe, enhancing production capabilities, and ensuring supply chain security.
Investment in technology involves allocating resources, typically financial, to develop or enhance technological capabilities, which can lead to increased efficiency and innovation.
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