I lived in Indiana for 31 years, almost all of my professional academic career, and I had many wonderful colleagues across the state including several at Purdue University. I note this because Skywater Technology is investing $1.8 billion in a semi-conductor facility in Discovery Park District next to the Purdue University campus. Skywater, Purdue University, and Ivy Tech Community College will work together to provide trained workers and engineers for the facility. In addition, the engineers and scientists at Purdue will work with Skywater on advanced research and development for the semiconductor industry.
Intel is making an investment of $20 billion for two new semi-conductor factories covering more than 1,000 acres in New Albany, Ohio (near Columbus). It broke ground on the facility in September of last year. Intel is providing $100 million for local colleges and universities to promote science, technology, and math training for workers and engineers. The two factories will provide 3,000 permanent jobs and open at the end of 2025. It is the largest business investment in the history of Ohio. Intel is also expanding its facilities in New Mexico at its Rio Rancho campus.
Micron will invest more than $100 billion over the next 2 decades in Clay City, New York (near Syracuse). It is estimated that the gigantic facility (1200 acres) will provide more than 9,000 jobs. Site preparation began last year, and construction is expected to begin at the end of this year. Micron is also working with local universities and community colleges to provide trained workers and engineers. This represents the largest investment in New York state history. GlobalFoundries is starting a $15 billion expansion of its Malta, New York facility.
TSMC (Taiwan Semiconductor Manufacturing Company) is investing $40 billion in new facilities in North Phoenix, Arizona. One is already under construction and will open in June of next year. Construction of a second facility is scheduled for 2026. These facilities will provide 4,500 permanent jobs. It is working closely with Arizona State University to make sure there will be trained workers and engineers for the facility. Construction is currently underway with plans to build a second facility.
Texas Instruments just broke ground on a multi-facility plant in Sherman, Texas with a total investment of $30 billion and will provide 3,000 permanent jobs. Samsung, which already has a CHIPS facility in Austin, Texas, is investing $17 billion in a new facility in nearby Taylor. It is under construction and should open in late 2024 and will provide 2,000 permanent jobs. These chips will be designed for autos, artificial intelligence, and 5G devices. As with all these CHIP manufacturing facilities, there are agreements with local community colleges and universities to provide training for workers and engineers.
Texas Instruments is also investing $11 billion to expand its facility in Lehi, Utah. Construction has also started for a $2 billion facility in Silver City, North Carolina by Wolfspeed, Inc.
These examples are just a sampling of the resurgence in the semi-conductor industry in the US. Semiconductors are crucial to virtually every major industry. The US was the first to develop semiconductors but saw the industry move overseas beginning in the 80s/90s due to deindustrialization. This made the US dependent upon Taiwan and other primarily East Asian countries for computer chips. This became painfully clear to all during the COVID supply chain disruptions.
The current resurgence is a direct result of the CHIPS and Science Act passed by the Biden Administration. As with the tremendous growth in advanced battery manufacturing taking place in the US (see my earlier essay “Change You Can See” from August 1, 2023), it is important to give credit where credit is due. I note that some Republicans are taking credit for these economic changes yet voted against the legislation.
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