President Joe Biden’s administration has reached an agreement to provide chipmaker Micron Technology with a staggering $6.1 billion in federal aid to manufacture cutting-edge computer memory chips in New York and Idaho.
According to Fortune, Senate Majority Leader Chuck Schumer (D-N.Y.) has ordered U.S.-based Micron to build a facility that will eventually become a set of four chip factories near Syracuse in the town of Clay. He said he pursued construction personally.
“This will be America’s largest memory chip factory,” Schumer said, according to Fortune magazine. “For the Syracuse area, this is probably the best thing to happen since the Erie Canal.”
Separate from government support, Micron plans to invest $100 billion of its own investment over the next 20 years in its upstate New York operations, which will create 9,000 factory jobs and 40,000 construction jobs. .
Mr. Biden touted Micron’s ambitious plan as “another victory for America, another huge investment in America fueled by my economic plan.”
The 81-year-old Democratic president has also touted that his term has fueled what he calls a “historic manufacturing boom,” with his administration vowing to make 20% of the world’s advanced chips in the United States. I swear.
As part of the effort, the Biden administration also restricted the flow of chips to China, which has emerged as a leader in semiconductor chip manufacturing.
He reiterated Wednesday in Pittsburgh that he is confident he will get tougher on China, especially on blocking exports of advanced technology that could “compromise our national security,” the newspaper reported. Associated Press.
Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest semiconductor company, has customers including Apple, Intel, and Nvidia, and has factories across China, including Nanjing and Shanghai.
Biden said he had given a similar message to Chinese President Xi Jinping in previous talks, saying, “We can’t have advanced computer chips because we’re going to use them for the wrong reasons.” It pointed out.
The Biden administration’s multibillion-dollar funding to Micron is part of the CHIPS and Science Act of 2022. Micron’s top corporate owners include Vanguard, which initially promoted an environmental, social and governance (ESG) strategy but has since increasingly rejected such efforts.
The law, which Biden passed in 2022, would allow investment tax credits to help U.S. manufacturers remain competitive in global markets, according to one report. White House Fact Sheet.
Shortly after CHIPS and the Science Act’s approval, Micron announced a $40 billion investment in memory chip manufacturing, while technology rival Qualcomm, in partnership with semiconductor company GlobalFoundries, invested $4.2 billion in the industry.
Later, Fortune reported that Micron also announced plans to build a $15 billion memory chip factory in its hometown of Boise, Idaho.
The CHIPS and Science Act of 2022 will also enable additional government support for facilities being developed by tech giants such as Intel, TSMC, and Samsung.
