Against the backdrop of the U.S. government's push to reshoring manufacturing and reshaping local supply chains, GlobalFoundries (GF), the world's leading wafer foundry, recently announced that it will invest $16 billion in New York and Vermont to significantly expand its semiconductor manufacturing and advanced packaging capacity. This move is not only a powerful response to the surging demand for computing power in the era of artificial intelligence, but also demonstrates GF's important strategic role in supporting the localization of chips in the United States.
With a focus on AI and high-performance applications, GF is driving next-generation semiconductor innovation
With the rapid development of artificial intelligence, the demand for high-bandwidth and low-power chips is growing explosively from cloud data centers to edge terminals. Through capacity expansion and technological innovation, GF is fully supporting the construction of a next-generation semiconductor platform, including silicon photonics, gallium nitride (GaN) power devices, and the self-developed 22FDX platform. Among them, GF's silicon photonic packaging center in New York is the first manufacturing base in the United States to focus on this field, and Vermont has become an important base for GaN innovation and research and development.
"AI is driving the ongoing global demand for advanced semiconductors, and GF's core technologies are well positioned to meet the dual performance and low power requirements of tomorrow's data centers and edge devices," said Tim Breen, CEO of GF. We proudly manufacture these critical chips in the U.S., working with global technology leaders to drive industrial innovation and supply chain resilience.”
The expansion plan has received positive responses and cooperation from many tech giants, including Apple, SpaceX, AMD, Qualcomm, NXP and General Motors. These companies are not only important customers of GF, but also a solid force driving the implementation of its U.S. manufacturing strategy.
Figure: GlobalFoundries is spending $16 billion to expand production
Apple CEO Tim Cook said: "GF has been supplying chips to Apple since 2010, and its expansion in the U.S. not only strengthens our supply chain, but also demonstrates the strength of U.S. manufacturing.”
"Advanced chips are an essential part of the Starlink satellite system, and GF's expansion in the U.S. will help us expand our production and fulfill our mission to connect the world," said Gwynne Shotwell, President and COO of SpaceX.”
Dr. Lisa Su, Chairman and CEO of AMD, said, "GF's ramp-up of production in the U.S. is a critical step in building a secure and sustainable chip supply chain.”
"GF's capacity expansion in key areas such as power efficiency, connectivity and edge AI will directly support the next generation of technology innovation," said Cristiano Amon, CEO of Qualcomm.”
NXP CEO Kurt Sievers emphasized that deepening the cooperation with GF is an important part of its hybrid manufacturing strategy, which will help better meet the capacity and technology needs of customers.
Mark Reuss, President of General Motors, also said, "GF's investment is critical to securing the supply of in-vehicle chips and helping us continue to deliver a safe, intelligent automotive experience.”
Strategic cooperation and government support to build a semiconductor "U.S. production capacity highland"
The investment follows GF's previous expansion of more than $13 billion in New York and Vermont, adding $3 billion to focus on next-generation packaging technologies, silicon photonics and GaN power devices. A number of government officials also expressed high praise for GF's generous layout.
U.S. Secretary of Commerce Howard Lutnick said, "This is a good example of manufacturing reshoring back to the United States. President Trump has made the relocation of semiconductors a central strategic goal, and GF's investment will preserve advanced production capacity and technology for future generations in the United States.”
Thomas Caulfield, Executive Chairman of GF, further commented: "This investment demonstrates the tremendous potential of government-industry synergies, and we will continue to deepen our collaboration with the government to drive a more resilient and sustainable U.S. chip ecosystem.”
Push the U.S. back to the center of the global semiconductor stage
The demand for advanced semiconductors in emerging fields such as artificial intelligence, big data, automotive chips, and aerospace is reshaping the global industrial landscape. Through this strategic investment, GF will comprehensively enhance its technical capabilities in the field of high-performance, green and secure chips, not only accelerate its own deployment in AI and communications, but also inject strong momentum into reshaping the U.S. leadership in the global semiconductor value chain.
The $16 billion investment represents the triple value of future technology sovereignty, secure manufacturing and industrial cooperation, and marks a critical journey for GF and its partners to take Made in America to new heights.
