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"Competition Is Already Fierce": Japan’s Rapidus Faces Concerns Over Delayed 2nm Mass Production, With Returns on Massive Government Investment Uncertain

November 12, 2026 -

By Aoife Brennan, economy.ac

Japan’s state-backed foundry company Rapidus is considering postponing the start of mass production of advanced 2-nanometer (nm, one-billionth of a meter) semiconductors. Unresolved technical challenges required for mass production appear to be pushing the schedule behind its original plan. Market observers warn that if this scenario materializes, Rapidus could lose its footing in the already heated competition among 2nm foundries. With major foundry companies such as TSMC, Samsung Electronics and Intel accelerating the commercialization of next-generation processes and efforts to secure customers, they say the barriers to market entry for latecomers will inevitably grow over time.

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