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Crolles

French town hosting STMicroelectronics fab where GlobalFoundries JV was suspended.

Crolles, the French town whose GlobalFoundries-STMicroelectronics fab expansion was suspended in 2024, remains one of the structural causes the European Commission cited when confirming EU chip share stuck at 9% against a 20% target in June 2026.

Last refreshed: 22 September 2026 · Appears in 1 active topic

Key Question

What happens to Crolles now that GlobalFoundries has pulled out and the EU 20% chip target goes unmentioned?

Timeline for Crolles

#16 14 Sept

Mentioned in: ESMC reports Dresden fab on schedule

European Tech Sovereignty

#12 14 Jul

Mentioned in: EU approves €659m for four German fabs

European Tech Sovereignty

#11 2 Jul

Mentioned in: Infineon opens €5bn Dresden fab early

European Tech Sovereignty

#9 17 Jun

Mentioned in: EU chip share slips to 9%

European Tech Sovereignty

#9 10 Jun

Mentioned in: A sovereign chip flow ships at Dresden

European Tech Sovereignty

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Background

Crolles is a town in the Isere department of southeastern France, home to STMicroelectronics' most important European manufacturing site. The complex uses FD-SOI, a French-developed transistor architecture suited to automotive and RF applications, and has operated there for decades under IPCEI ME/CT microelectronics co-funding.

In early 2024, GlobalFoundries and STMicroelectronics suspended a planned €7.5bn joint expansion at the site, citing insufficient customer demand. The collapse removed France's flagship EU Chips Act capacity anchor and, alongside Intel's cancelled Magdeburg project, became one of the two largest setbacks to the Act's original supply targets. Crolles remains an active STMicroelectronics site, but without the GlobalFoundries partnership its FD-SOI production retains only niche value for automotive and RF end-markets rather than a PATH to European leadership in advanced-node logic manufacturing.

Key Issues

Chip target casualty

Crolles stays a chip-target casualty

the Commission's June 2026 Digital Decade scorecard confirmed EU semiconductor market share at 9%, against a 20% target for 2030, and named Crolles alongside Intel's cancelled Magdeburg project as a structural cause of the shortfall. The two cancellations together removed €37.5bn of planned leading-EDGE investment.

Since GlobalFoundries and STMicroelectronics suspended their joint expansion here in 2024, no European Commission official has publicly restated the 20% target, leaving Crolles without a replacement benchmark to be measured against. Chips Act II, adopted in June 2026, gives Brussels new direct equity-stake authority in fabs, a tool that did not exist when Crolles collapsed.

Common Questions

What is the Crolles semiconductor fab?

Crolles is home to STMicroelectronics' main European manufacturing complex, producing chips on FD-SOI processes for automotive, industrial, and consumer electronics. It is a cornerstone of European semiconductor sovereignty.Source: STMicroelectronics Crolles facility

Why did GlobalFoundries pull out of the Crolles joint venture?

GlobalFoundries suspended its joint venture with STMicroelectronics in Crolles in 2024, citing the collapse in chip demand and difficulty securing EU public funding on commercially viable terms.Source: GlobalFoundries JV suspension announcement

What is FD-SOI and why does Europe care about it?

FD-SOI (fully depleted silicon-on-insulator) is a chip process that STMicroelectronics and Samsung use. Europe invested in it as a differentiating technology for low-power and RF applications, particularly for automotive chips.Source: CEA-Leti FD-SOI research

Is the Crolles fab receiving EU funding?

Yes. Crolles is among the sites included in IPCEI ME/CT (Important Projects of Common European Interest in Microelectronics and Communication Technologies), receiving French state and EU co-funding.Source: European Commission IPCEI Me/CT decision

What is the current status of the STMicroelectronics fab in Crolles?

Crolles remains an active STMicroelectronics manufacturing site funded under IPCEI ME/CT, but the planned €7.5bn expansion with GlobalFoundries was suspended in early 2024. Without that partnership, the site's strategic scope has been significantly reduced.Source: Lowdown european-tech-sovereignty briefing

How does the Crolles suspension connect to Europe's 9% chip share in 2026?

the Commission's June 2026 Digital Decade scorecard confirmed Europe's chip share at 9%, well below the 20% Chips Act target. The Crolles GlobalFoundries suspension and Intel's Magdeburg cancellation removed the two largest planned contributions to that target and are cited among the structural causes of the gap.Source: Lowdown european-tech-sovereignty briefing

How the World Sees Them

France

Crolles was France's flagship EU Chips Act site, home to STMicroelectronics' most important domestic manufacturing complex for decades. GlobalFoundries' 2024 withdrawal from the joint expansion left Paris without a strategic foundry partner and exposed gaps in the country's subsidy-led industrial strategy.

GlobalFoundries

GlobalFoundries entered the Crolles joint venture with STMicroelectronics to expand FD-SOI capacity for automotive and RF customers. Insufficient customer demand forced the early-2024 suspension, redirecting GlobalFoundries' European investment focus back to its existing Dresden fab.

STMicroelectronics

STMicroelectronics has operated at Crolles for decades as its principal European manufacturing base for FD-SOI processes. GlobalFoundries' 2024 withdrawal from the planned expansion left the site's growth ambitions curtailed, though core production continues under IPCEI Me/CT funding.