EU approves €319 million in state aid to Austrian 'first of a kind' next generation semiconductor factory

November 5, 2026 -

The European Commission has approved Austria’s state-aid grant to Infineon Technologies to upgrade its existing semiconductor facility in Villach, Carinthia, and make it the world’s first high-volume manufacturing facility for next generation semiconductors.

By Jonathan Benton, euronews.com

The European Commission has approved €319 million in Austrian state aid for semiconductor giant Infineon Technologies to help fund a €1.1 billion upgrade of its factory in Villach. The investment will enable the company to ramp up production and establish what it says will be the world’s first high-volume manufacturing facility for next-generation gallium nitride power semiconductors on 300-millimetre wafers.

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