In early August 2022, President Biden signed the CHIPS ACT, and the incentive dollars will grow manufacturing and research of semiconductors here in the United States. Most of the dollars allocated will support chipmakers like GlobalFoundries in the effort to reverse a worldwide shortage of semiconductor chips. GlobalFoundries is currently investing $1 billion to increase capacity in Malta. Now that the CHIPS ACT is signed, GlobalFoundries is moving forward with a second manufacturing facility in Malta that will create another 1,000 jobs when completed in three years. Total investment for the second facility will be from $6 billion to $8 billion.
New York State is also leading by offering a state-level, companion incentive to the forthcoming federal CHIPS Act incentives. Governor Kathy Hochul signed the Green CHIPS legislation on August 11, and it will reduce the cost of constructing and operating chip fabs. This new transformative program will help attract thousands of jobs and billions of dollars to cement New York as the nation’s leader in the domestic reshoring of semiconductor manufacturing—while helping address supply chain shortages, inflation, and national security.
Industry Group Launches Platform To Grow Semiconductor Industry Workforce
Also located in the Capital Region is The Albany NanoTech Complex, home to SUNY Poly’s College of Nanoscale Science and Engineering. The site offers a fully-integrated research, development, prototyping, and educational facility that provides strategic support through outreach, technology acceleration, business incubation, pilot prototyping, and test-based integration support for on-site corporate partners including IBM, GlobalFoundries, Samsung, Applied Materials, Tokyo Electron, ASML, and Lam Research, as well as other next-generation nanotechnology research activities, including hands-on internships for students along with career opportunities. Senator Charles Schumer and other state and local officials are pushing for the Complex to be named as the headquarters for the new National Semiconductor Technology Center, the research and development part of the CHIPS Act.
The Capital Region, Mohawk Valley Region, and Mid-Hudson Valley Region are the manufacturing triangle of semiconductor and advanced materials in New York State. With companies like GlobalFoundries, ON Semiconductor, and Wolfspeed manufacturing urgently needed chips, SEDC’s continued efforts to attract the supply chain companies to locate and expand in Saratoga County and throughout the Capital Region remain a primary focus. This is why there is over 450,000 square feet of Flex SPEC buildings already approved, and 270,000 square feet is currently under construction. All come with property tax incentives that companies expanding existing businesses or moving into New York State can qualify for, as well as other credits.
With regional partnerships, like the Center for Economic Growth (CEG) and utility providers such as National Grid, (both significant players in bringing semiconductor manufacturing to the Capital Region), SEDC is positioned with a rapport of partnering for regional growth and economic vitality. SEDC is bold in knowing what works for the region and experienced in knowing what works for the client.
