The Dubai Government recently signed an agreement with Communicant, the German semiconductor manufacturer, for a project worth 1.3 billion euros to produce high-tech basic elements used in semi-conductors.
The project is expected to make Dubai a hub for semiconductor manufacturing and related activities.
Under the agreement, the participating parties will start the full implementation of the project which is considered an important step towards chip manufacturing.
Dr. Mohammed Al Zarouni, director general of the Dubai Airport Free Zone Authority (Dafza), signed the agreement.
He said, all the project partners have expressed their commitment to offer all capabilities available to ensure the success of the project.
An IHP research centre for communications and telecommunications, which is taking part in the project, will produce the chips required in the current period. The agreement stipulates that the second phase of the expansion of the Communicant project is to be implemented at the Dubai Silicon Oasis, at a cost of Dh7 billion.
The Dubai Silicon Oasis, will be located in Nad Al Sheba on a 6 million square metre plot of land.
Earlier this year, Dafza signed an agreement with the American firm, CH2M Hill International Ltd, to prepare a masterplan for Dubai Silicon Oasis project which is scheduled for construction next year. The masterplan is expected to be finalised this year.
General Sheikh Mohammed bin Rashid Al Maktoum, Dubai Crown Prince and UAE Defence Minister, earlier directed Dubai Silicon Oasis to appoint an advisory board.
The global semiconductor market revenue and worldwide electronic equipment production are projected to reach $260 billion and $1,900 billion respectively by the end of 2005.
Gulf News
