Over the past two decades, the semiconductor industry has had virtually no dedicated venture capital funds (VC Funds). This is mainly due to the industry's high capital requirements, technical complexity, and long-term return cycle, which makes it difficult for a typical VC fund to enter and operate successfully. At the same time, Japan has gradually lost its leadership position in the semiconductor industry over the past few decades. As the world's most advanced semiconductor manufacturer, Taiwan has emerged as a major player in the global semiconductor industry with its superior technology and manufacturing capabilities.

Seeing the bright spot of Taiwan-Japan cooperation, Mercuria Holdings from Japan came to visit renowned venture capitalist and alumnus of Yang Ming Jiaotong University, Mr. Tai Zhonghe, and exchanged views on the Taiwan-Japan Semiconductor Next Generation Development Fund (SGDF), recognizing that the SGDF would be an opportunity for Taiwan and Japan to create together.