Switzerland Courts Rheinmetall, Defense Firms for $250 Million Chip Plant

Switzerland’s top research institutions are in early talks with arms makers including Rheinmetall AG to fund a new $250 million semiconductor plant, according to people familiar with the plans, as the historically neutral country wades deeper into defense amid surging European military spending.

A Swiss consortium recently proposed building a facility to develop and fabricate chips in the outskirts of Zurich, according to a document viewed by Bloomberg. To finance the effort, the group plans to turn to government agencies and “large industrial companies,” the document says.