Europe reaching a new semiconductor milestone? To boost the EU’s semiconductor supply chain, the European Commission approved €81 million for a synthetic diamond factory in Spain.
The European Commission has recently approved an investment of €81 million (almost $85.26 million) for a new semiconductor-grade synthetic diamond factory in Trujillo, Extremadura, Spain. The facility, which has been built with an investment of €675 million (about US$ 710.5 million), will utilise advanced plasma reactor technology and aims to provide an alternative to traditional silicon in semiconductor wafer fabrication.
This move is aligned with the European Union’s (EU) strategy to strengthen its semiconductor supply chain and reduce reliance on imports. Led by Diamond Foundry Europe, it is expected to boost the region’s economy and contribute to the EU’s digital and green transition goals.
The factory will produce synthetic diamond wafers, which offer superior thermal conductivity, durability, and efficiency, making them ideal for applications such as 5G networks and electric vehicles.
These benefits are crucial as the global demand for higher-performing semiconductors rises. Synthetic diamonds also address silicon’s limitations, particularly in overheating and inefficiency at high frequencies.
Furthermore, to support the green economy, the plant will also be carbon-neutral and powered by renewable energy from a solar photovoltaic system. It is also expected to create around 300 direct jobs and further regional development in Extremadura, a less-developed area in Spain.