GlobalFoundries and the U.S. Department of Commerce recently announced that GF will receive up to $1.5 billion in direct funding through the CHIPS and Science Act. The funding will be used to expand GF's key chip manufacturing and technology R&D capabilities in the U.S., strengthen the semiconductor supply chain, and support customer demand in a number of key end markets, from automotive, smart mobile devices, and the Internet of Things to data centers and aerospace defense.
GF CEO: The CHIPS Act is helping the future of semiconductors in the United States
"The idea to strengthen U.S. semiconductor manufacturing capacity has been more than five years in the making," said Thomas Caulfield, Ph.D., president and CEO of GF. GF's critical chips are at the heart of the U.S. economy, supply chain and national security. "We are grateful for the support and funding from the U.S. federal government, as well as the states of New York and Vermont, which will help us ensure our customers have access to the U.S.-made chips they need to differentiate themselves from the global competition."
Three key projects: expansion, upgrade and new plant
GF will use CHIPS Act funding to advance the following three programs:
Expansion of production at the Malta plant in New York
In addition to the existing fab in Malta, New York, GF will be built on key technologies already manufactured at GF's Singapore and German facilities to ensure safe and reliable locally manufactured critical chips for the U.S. automotive industry.
Upgrade of the Essex plant in Vermont
Modernize and upgrade Essex's existing fab to expand production capacity and create a world-leading, high-volume, next-generation gallium nitride (GaN) semiconductor manufacturing hub. These chips will be widely used in key fields such as electric vehicles, data centers, Internet of Things, smartphones, etc.
Pictured: GF receives $150 million in CHIPS Act funding (Photo: GlobalFoundries)
Construction of a new plant in Malta, New York
A new, modern wafer fab will be built on the Malta campus to meet the growing demand for future key U.S. chips in the fields of automotive, artificial intelligence, aerospace and defense.
Over $13 billion has been invested in 10 years, creating tens of thousands of jobs
The total investment in these projects is expected to exceed $13 billion over the next 10 years. This includes $1.5 billion in CHIPS Act funding, more than $550 million in support from New York State's Green CHIPS Program, and funding from the State of Vermont, GF's ecosystem partners, key strategic customers and other incentive programs.
The two New York-based expansion and new plant construction projects are expected to more than triple the existing capacity of the Malta campus over the next 10 years, while creating approximately 1,000 direct manufacturing jobs and more than 9,000 construction jobs.
Build a local talent ecosystem and promote sustainable development
To attract and develop semiconductor talent in New York and Vermont, GF will continue to invest in curriculum development, internship and apprenticeship programs, K-12 STEM education outreach, and other education and training programs. In addition, GF will maintain its long-term commitment to the community and the environment by integrating sustainability goals into the design and construction of expansion and upgrade projects.
GF's fabs in New York and Vermont are certified as Trusted Foundries and work with the U.S. government to manufacture security chips to support defense and other critical applications.
The funding of the CHIPS Act is not only a recognition of GF's technical capabilities, but also an important support for the revitalization of the domestic semiconductor industry in the United States. Through this series of expansions and upgrades, GF will further strengthen its leading position in the global semiconductor industry while making a significant contribution to U.S. economic security and technological independence.
