A joint venture led by Qualcomm and the Brazilian government will see the launch of a semiconductors factory producing high-complexity equipment.
The consortium, which also includes semiconductor manufacturing firm ASE Group, is predicted to make a total investment of $200m in the initiative.
The memorandum of understanding on the project was signed by the companies and the Brazilian Social Economic Development Bank (BNDES) on Wednesday (8).
Exact timescales for the creation of the physical premises, as well as the actual launch date of the factory have not been disclosed. The site will be based in the state of São Paulo, around the technology hub of Campinas, where companies such as Samsung and Lenovo are also based.
Qualcomm's president for Latin America Rafael Steinhauser stated that the project will go a long way towards positioning Brazil as a producer of high density, high complexity semiconductors.
"We want to position Brazil as leaders in an industry that is developing very quickly worldwide," Steinhauser said.
"We hope that this project can strengthen Brazil's role in the semiconductor value chain, cater for the local smartphone ecosystem and also develop the local Internet of Things environment," the executive added.
According to the Brazilian minister of science, technology, innovation and communications, Gilberto Kassab, the investment "demonstrates the confidence the companies have in Brazil."
"As well as creating new jobs, the investment will support the recovery of the Brazilian economy," Kassab added.