Apple to Invest Over 1 bn Euros in Munich Microchip R&D Hub

The logo of Apple company is seen outside an Apple store in Paris, France, April 10, 2019. REUTERS/Christian Hartmann
The logo of Apple company is seen outside an Apple store in Paris, France, April 10, 2019. REUTERS/Christian Hartmann
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Apple to Invest Over 1 bn Euros in Munich Microchip R&D Hub

The logo of Apple company is seen outside an Apple store in Paris, France, April 10, 2019. REUTERS/Christian Hartmann
The logo of Apple company is seen outside an Apple store in Paris, France, April 10, 2019. REUTERS/Christian Hartmann

US tech giant Apple said Wednesday it planned to invest more than one billion euros ($1.2 billion) in Germany and open Europe's biggest research facility on mobile wireless semiconductors and software.

Apple said it would make Munich its "European Silicon Design Center", creating hundreds of new jobs at a facility for 5G and wireless technologies.

"I couldn’t be more excited for everything our Munich engineering teams will discover -- from exploring the new frontiers of 5G technology, to a new generation of technologies," Apple CEO Tim Cook said in a statement.

"Munich has been a home to Apple for four decades," he added.

Apple has had a base in Munich since 1981 and now has hundreds of engineers developing microchips at its centers in southern Germany.

The latest investment in the region would "exceed one billion euros in the next three years alone", the company said.

It added that the planned new facility in Munich, slated to open in 2022, would host "Apple’s growing cellular unit, and Europe’s largest R&D site for mobile wireless semiconductors and software".

The announcement comes a day after the EU said it aims to capture 20 percent of the world's semiconductor market by 2030 as Europe looks to become a tech power to rival the US and China.

Under a new roadmap, the European Commission also wants the EU to develop its first quantum computer before the end of the decade in order to be ready for a new era in fast computing.

A key component in everyday products such as cars and mobile phones, semiconductors are currently in short supply worldwide and Europe is dependent on Chinese and American imports in a market estimated at 440 billion euros ($523 billion) a year.

Shortages, caused by changes in supply chains because of the coronavirus pandemic, have forced some major German manufacturers including Volkswagen to suspend production lines.



Google to Discount Cloud Computing Services for US Government, FT Reports

FILED - 09 January 2024, US, Las Vegas: The Google logo is pictured on the Internet company's pavilion at the CES technology trade fair in Las Vegas. Photo: Andrej Sokolow/dpa
FILED - 09 January 2024, US, Las Vegas: The Google logo is pictured on the Internet company's pavilion at the CES technology trade fair in Las Vegas. Photo: Andrej Sokolow/dpa
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Google to Discount Cloud Computing Services for US Government, FT Reports

FILED - 09 January 2024, US, Las Vegas: The Google logo is pictured on the Internet company's pavilion at the CES technology trade fair in Las Vegas. Photo: Andrej Sokolow/dpa
FILED - 09 January 2024, US, Las Vegas: The Google logo is pictured on the Internet company's pavilion at the CES technology trade fair in Las Vegas. Photo: Andrej Sokolow/dpa

Google will heavily discount cloud computing services for the United States government, in a deal that could be finalized within weeks, the Financial Times reported on Friday, amid President Donald Trump's efforts to implement sweeping measures to minimize federal spending.

The Wall Street Journal reported last week that Oracle will offer federal agencies a 75% discount on its license-based software and a "substantial" discount on its cloud service through the end of November.

Google's cloud contract is likely "to land in a similar spot", the Financial Times said, citing a senior official at the General Services Administration, adding that equivalent discounts from Microsoft's Azure and Amazon Web Services are expected to follow soon.

"Every single of those companies is totally bought in, they understand the mission," the senior official told the newspaper. "We will get there with all four players."

Reuters could not immediately verify the report.

Google and the General Services Administration did not immediately respond to Reuters' requests for comment outside regular business hours.

In April, Google agreed to offer a 71% discount till September 30 to US federal agencies for its business apps package that could generate up to $2 billion in cost savings if there is government-wide adoption.