Biden administration to invest $50 billion in chips
The US Department of Commerce has just released its strategy on how it will use $50 billion from the bipartisan CHIPS Act of 2022. This law was signed by US President Joe Biden last month. This initiative was taken in order to revive the American semiconductor industry.
The US Department of Commerce said the CHIPS for America program, which is housed within the Department’s National Institute of Standards and Technology (NIST), will put the national semiconductor industry into perspective. But not only that, it will also spur innovation while creating well-paying jobs in all American communities.
CHIPS for America Program Initiatives
The first initiative is large-scale investment in advanced manufacturing. To do this, the Department will dedicate approximately $28 billion to establish domestic production of state-of-the-art logic and memory chips. These require the most sophisticated manufacturing processes available today.
The second initiative is dedicated to new manufacturing capability for mature and current-generation chips, new and specialized technologies, and suppliers to the semiconductor industry. Thus, 10 billion dollars will go to the construction of semiconductors for cars, communication technologies, medical devices, defense and other critical commercial sectors. Finally, the last initiative concerns research and development (R&D).
Objectives of the CHIPS for America program
There are exactly four main objectives of the program namely the establishment and development of domestic production of state-of-the-art semiconductors in the United States and the construction of a concurrently sufficient and stable supply of node semiconductors. mature.
Without forgetting the investment in R&D so that the technology of the next generation semiconductors is 100% developed and produced locally. The final objective according to the Department is to “ create tens of thousands of well-paying manufacturing jobs and over one hundred thousand construction jobs “. He says this effort is going to include women, people of color, veterans and people living in rural areas who have not historically had the chance to participate in this industry.
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