Russia Launches Full-Cycle Microchip Production Plant, Aiming at Durability over Miniaturization

Russia is building a new full-cycle microchip manufacturing facility in Veliky Novgorod with a focus on robust, radiation-resistant 800–600 nm chips — key for defense, space, and automotive sectors.

Russia is setting up a full-cycle microelectronics plant in Veliky Novgorod under its “Intelligent Electronics – Valdai” science and technology center. The facility will cover the entire chip production spectrum—from topology design to packaging and final assembly.

A defining feature of the project is its targeting of older 800 nm and 600 nm process nodes. While less advanced than those used in consumer electronics, these chips offer superior resistance to radiation and temperature extremes, making them indispensable for defense, space exploration, and automotive applications.

Construction will proceed in stages: initial efforts will focus on designing and erecting the infrastructure and ordering necessary equipment. Potential customers include research labs, tech-center residents, and regional industrial companies. The plant will also serve as a hands-on engineering base for Novgorod State University.

Investment estimates range in the tens of billions of rubles. The test and packaging center alone will cost approximately ₽1.3–1.5 bn (about $16–19 m). Launching the first production line using 150 mm wafers — with a capacity of several thousand chips per month — will require ₽30–60 bn ($375–750 m). Future expansion to 200 mm wafers could raise the total investment to ₽60–90 bn ($750 m–$1.125 bn).