TOKYO (Reuters) -About 20 Japanese corporations, which includes electronic ingredient maker Ibiden Co, will perform with Taiwan Semiconductor Manufacturing Co (TSMC) to create chip production technologies in Japan, the Nikkei newspaper reported.

Japan’s authorities will spend 50 % of the 37 billion yen ($337 million) price of a investigation facility, The Nikkei stated, without disclosing its sources.

TSMC in February stated it will invest about $178 million to open up a content exploration subsidiary in close proximity to Tokyo.

In a statement to Reuters, TSMC said that facility “aims to leverage much more know-how in the discipline of components to convey worth to the marketplace”.

“We recognize the assist from Japan’s authorities for us to generate semiconductor know-how development with each other with TSMC’s associates in Japan,” it additional, without elaborating.

Japan wants to cooperate with the Taiwanese enterprise to assist its semiconductor brands to continue to be aggressive as chip demand grows with the growth of 5G infrastructure, autonomous driving technological innovation, facts centres and synthetic intelligence (AI).

Ibiden did not promptly reply to requests for remark.

(Reporting by Tim Kelly Further reporting by Ben Blanchard in TaipeiEditing by Kirsten Donovan and David Goodman)

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