BREAKING NEWS
This content is not available in your region

France' STMicro sees no reason to take part in EU chip alliance

Access to the comments Comments
France' STMicro sees no reason to take part in EU chip alliance
France' STMicro sees no reason to take part in EU chip alliance   -   Copyright  (c) Copyright Thomson Reuters 2021. Click For Restrictions - https://agency.reuters.com/en/copyright.html
Text size Aa Aa

PARIS (Reuters) – Franco-Italian chipmaker STMicroelectronics sees no reason to join a potential European Union semiconductors alliance, its chief executive said on Tuesday, as the European Commission is seeking to boost Europe’s independence in microchips.

CEO Jean-Marc Chéry told BFM Business that the Commission’s initiative is a positive development but added that his firm had no interest in taking part.

Chéry said he expects the chip shortage is not about to end. “The imbalance between demand and capacity is such that this will last at least a year,” he said.

STMicro produces a wide range of chips, from low-margin microcontrollers to more sophisticated sensors used in smartphones and autonomous vehicles.

European industry chief Thierry Breton said last month there are now 22 EU member states joining forces in a new alliance to support the local production and development of semiconductors to reduce the bloc’s reliance from foreign suppliers.

The European Commission’s ambition is to double Europe’s market share in global chips and semiconductor production from 10% to 20% by 2030.

(Reporting by Geert De Clercq; Editing by Bill Berkrot)

euronews provides breaking news articles from reuters as a service to its readers, but does not edit the articles it publishes. Articles appear on euronews.com for a limited time.