New York State, in a strategic effort to solidify its role as a major player in the global semiconductor industry, has announced an ambitious $1 billion project aimed at dramatically expanding chip research in Albany. Governor Kathy Hochul is at the forefront of this initiative, which is expected to significantly enhance the state’s tech capabilities while simultaneously invigorating the local economy.
The project is poised to create 700 new permanent jobs and safeguard several thousand existing ones. A key feature of the expansion involves acquiring one of the world’s most sophisticated and costly manufacturing machines, which will be housed in a purpose-built facility to support its advanced functions.
This initiative is poised to attract further investments, potentially bringing in an additional $9 billion from the chip industry. Such investments are crucial for New York’s aspirations to host the National Semiconductor Technology Center, a significant component of the research strategy funded by the 2022 CHIPS Act.
At the heart of these developments is the Albany Nanotech Complex, affiliated with the State University of New York at Albany. Around $500 million is earmarked for constructing a new 50,000-square-foot clean room facility, marking a significant step forward in both physical and technological terms. This expansion is particularly pivotal in the realm of lithography, a crucial chip manufacturing process that involves transferring circuit patterns onto silicon wafers.
Another $500 million will be invested in acquiring a state-of-the-art Extreme Ultraviolet (EUV) lithography system, known as the “High NA” system. This technology is expected to revolutionize the production of semiconductor chips, leading to enhanced performance and efficiency in various computing devices.
The project’s economic implications extend to the creation of 500 to 600 temporary construction jobs over two years. The state’s investment in the High NA tool, which is expected to arrive in Albany by late 2025, represents a novel approach in the industry. This tool will be owned and operated by the state, serving as a communal asset to support the wider U.S. semiconductor sector.
This initiative underscores the Northeast United States’ growing importance in the semiconductor industry’s evolution. In a related move, BAE Systems in New Hampshire is slated to receive the inaugural manufacturing grant under the CHIPS Act.
In a parallel development, Micron Technology, the only U.S. manufacturer of data storage chips, has declared its intention to invest up to $100 billion over the coming decade to establish a new manufacturing site near Syracuse, NY. This decision further solidifies New York’s status as a crucial hub in the national and international semiconductor field.
Through these strategic investments and advancements, New York is not just cementing its position in the high-tech sector but also contributing significantly to the United States’ competitive stance in the global semiconductor market.
