Nvidia's first GPU was made in France — Macron wants the country to produce cutting edge chips again

On Wednesday, French President Emmanuel Macron advocated for the revival of advanced chip manufacturing in France, aiming to establish the nation as a pivotal tech hub in Europe. This initiative comes amid a growing trend among European nations and tech firms to reduce dependence on foreign technology providers for vital infrastructure and innovations. During a panel discussion that included Nvidia's CEO Jensen Huang and Mistral AI's Arthur Mensch, Huang revealed that Nvidia’s inaugural graphics processing unit (GPU) was produced in France by SGS Thomson Microelectronics, now known as STMicroelectronics. However, STMicroelectronics currently focuses mainly on manufacturing chips for industries like automotive, which do not require the latest semiconductor technology. Macron expressed his ambition for France to be capable of producing semiconductors within the 2 to 10 nanometer range. "To strengthen our industry, we must increase the production of chips that meet the right specifications," he stated. The significance of smaller nanometer figures lies in their ability to accommodate more transistors within a chip, resulting in more powerful semiconductors. For instance, Apple’s latest iPhone chips utilize 3 nanometer technology. Only a handful of companies, including Samsung and Taiwan Semiconductor Manufacturing Co. (TSMC), can manufacture chips at such advanced levels and in substantial quantities. To achieve this goal, France may need TSMC or Samsung to establish local production facilities, similar to recent developments in the United States where TSMC has invested billions in new factories. Macron also highlighted a collaboration involving Thales, Radiall, and Taiwan's Foxconn, which are exploring the establishment of a semiconductor assembly and testing facility in France. "I aim to persuade them to conduct manufacturing in France," he remarked at VivaTech, one of the country’s largest tech events. At the same time, Nvidia’s Huang announced multiple partnerships to enhance AI infrastructure across Europe. Among these collaborations is a significant partnership between Nvidia and French AI model company Mistral, designed to develop an 'AI cloud.' Macron noted that France is committed to enhancing its AI capabilities, with plans for private investments totaling 109 billion euros ($125.6 billion) in the sector over the next few years. He described the Nvidia and Mistral collaboration as a transformative step in France's AI development efforts, stating, "We are amplifying our investments and accelerating progress. This announcement is a game-changer as well," he conveyed in an interview with CNBC.