IBM Partnered with Rapidus to Create Advance Chips

On Tuesday, IBM announced its partnership with a new Japanese chipmaker Rapidus to create the world’s most advanced chips.

The agreement came after the United States restricted the export of its advanced chips to China and asked its allies to do the same.

Under the arrangement, the two companies will further develop the US-based tech firm’s 2.00 nanometer (nm) node technology.

IBM first announced the product in 2021 and predicted it would achieve 75.00% energy efficiency and 45.00% better performance than the current 7.00 nm tech.

Generally, the nanometer term in the chip industry refers to a specific device rather than measurement. Accordingly, the chip is more advanced as the number becomes smaller.

Meanwhile, Rapidus plans to use different manufacturing strategies to ensure the product’s competitiveness.

Consequently, engineers and scientists will work with IBM Japan and the developers at the Albany Nanotech Complex in New York.

However, the Japanese firm’s president believes they might need to spend trillions of yen to get the production running. This statement came after Tokyo’s trade ministry announced its plan to invest 70.00 billion yen in the company last month. Furthermore, sources noted that there would be more funding on the way.

Looking forward, the Japanese firm expects to begin mass production in the latter half of the decade.

Octo and IBM Acquisition Deal

Before the Rapidus partnership, IBM announced its plan to acquire the US government IT service provider Octo. Through the arrangement, the New York-based company established a digital transformation partnership with the administration. Moreover, the agreement will enhance the tech firm’s ability to support federal agencies.

For its strategy, IBM will focus on applying its hybrid cloud computing and artificial intelligence to help government institutions with their agendas.

Accordingly, the firm’s consulting vice president believes the deal will enable the federal clients to serve the citizens better.

Looking forward, both parties expect to finish the transaction by the end of the year.