Highlights Multi-Billion Dollar Semiconductor R&D Investments

Vice President Harris Highlights Multi-Billion Dollar Semiconductor R&D Investments

Semiconductor R&D Investments

In a visit to Applied Materials in Sunnyvale, California, Vice President Kamala Harris emphasized the Biden-Harris Administration’s commitment to investing in semiconductor manufacturing and research and development (R&D). These investments are intended to support American innovation, create jobs, and enhance the nation’s competitiveness in the global market. The visit coincided with Applied Materials’ announcement of a $4 billion investment in a state-of-the-art research and development facility, the EPIC Center, which will collaborate with leading chipmakers to design cutting-edge tools for semiconductor manufacturing. This blog post explores the significance of these investments and their impact on America’s technological future.

The CHIPS and Science Act:

A Catalyst for Private Sector Investments The CHIPS and Science Act, signed into law by President Biden in August, represents a historic federal investment of $53 billion in strengthening and revitalizing the United States’ semiconductor research, development, and manufacturing capabilities. By positioning America at the forefront of emerging industries like nanotechnology, clean energy, quantum computing, and artificial intelligence, the Act ensures the nation’s long-term economic competitiveness. The Act is a cornerstone of the Biden-Harris Administration’s Investing in America agenda, fostering a manufacturing boom, creating job opportunities, and bolstering American supply chains.

Private Sector Commitments:

Since the passage of the CHIPS and Science Act, private companies have pledged nearly $140 billion in investments in semiconductor production, supply chains, and R&D over the next decade. These commitments highlight the confidence that industry leaders place in the United States as a hub for technological advancement. Here are some notable investments announced:

1. Applied Materials: Applied Materials announced a $4 billion investment in a new R&D center in California, where it will collaborate with leading chipmakers to develop state-of-the-art tools for semiconductor manufacturing.
2. Analog Devices: Analog Devices is investing $1 billion to upgrade its existing facility in Oregon, effectively doubling its production capacity.
3. EMP Shield: EMP Shield announced a $1.9 billion investment in Kansas for a semiconductor manufacturing facility, projected to create over 1,200 jobs.
4. GlobalFoundries and General Motors: These companies formed a first-of-its-kind agreement to create dedicated manufacturing capacity at GlobalFoundries for chips designed by General Motors’ critical suppliers.
5. IBM: IBM committed $20 billion for the design and manufacture of semiconductors in New York. The investment will also support other critical technologies, including quantum computing and artificial intelligence.
6. Intel: Intel plans to invest over $20 billion in Ohio to build two advanced semiconductor facilities, generating 10,000 jobs. Additionally, Intel and its partners will increase investment in Arizona by up to $10 billion.
7. Micron: Micron intends to invest $20 billion in a new facility in New York, focusing on the production of leading-edge memory chips. Additionally, the company plans to invest approximately $15 billion in a new facility in Idaho.
8. Texas Instruments: Texas Instruments announced an $11 billion investment in a semiconductor wafer fab in Utah, which will create 800 jobs and support various industries, including automotive.
9. TSMC: TSMC, the world’s largest semiconductor foundry, increased its investment in Arizona to $40 billion, establishing two leading-edge manufacturing facilities. This marks the largest foreign direct investment in Arizona’s history.
10. Wolfspeed: Wolfspeed announced a $5 billion investment in North Carolina to build a facility for producing silicon carbide wafers, expected to create 1,800 new jobs.

These investments, along with numerous others, highlight the transformative potential of the Biden-Harris Administration’s focus on semiconductor research, development, and manufacturing.