GlobalFoundries, a semiconductor manufacturer, and STMicroelectronics, a global semiconductor leader serving customers across the spectrum of electronics applications, have announced the conclusion of an agreement to create a new, jointly-operated, high-volume semiconductor manufacturing facility in Crolles, France.

Speaking on the collaboration, Thomas Caulfield, President and CEO of GlobalFoundries. “In partnership with STMicroelectronics in Crolles, we are further expanding GlobalFoundries’ presence within Europe’s dynamic technology ecosystem while benefiting from economies of scale to deliver additional capacity in a highly capital efficient manner.”

The program represents an overall projected cost of 7.5 billion euro for CAPEX, maintenance and ancillary costs. The new facility will benefit from financial support from the State of France (administered by Bpifrance).