Computer chip company GlobalFoundries will receive $1.5 billion to expand production at factories in New York and Vermont, the Biden Administration said Monday. The funding comes from a grant under the 2022 CHIPS and Science Act, a law to allow the U.S. to invest more than $52 billion into the U.S. computer chip industry to reinvigorate and advance manufacturing, research and development.
The funds will go toward the construction of a new advanced chip factory in Malta, N.Y., as well as to increased production at the existing Malta plant and a plant in Burlington, Vt. This is expected to create 9,000 construction jobs and 1,500 manufacturing jobs over the next 10 years.
“The chips that GlobalFoundries will make in these new facilities are essential,” said Commerce Secretary Gine Raimondo. “They power sophisticated military equipment, electric vehicles. They assure smartphones have the latest features, enable faster Internet connections for Americans.”
As well as providing direct funding, the federal government would also provide loans up to $1.6 billion. In total, public and private investment combined will likely equal around $12.5 billion.
