Arizona to invest US$100 million to boost semiconductor industry

Category: Automotive
Published: 2022-11-07
Arizona to invest US$100 million to boost semiconductor industry

ARIZONA – Arizona’s government, announced a $100 million investment in the state’s semiconductor industry to spur further growth in a critical sector of the economy.

“Arizona has earned a place as one of the world’s premier destinations for chip design, manufacturing and innovation,” said Governor Doug Ducey. “With historic opportunities before us, this funding ensures that we make the most of this moment and cement our leadership in the semiconductor sector for decades to come.”

According to local officials, Arizona has become a premier semiconductor destination. The consequential funding is intended to capitalize on that momentum, with the goal of establishing a world-class public-private partnership focused on the development and manufacturing of next-generation semiconductor technologies.

The funding will be managed by the Arizona Commerce Authority to further enhance Arizona’s semiconductor infrastructure, workforce and research capabilities. It will also help maximize the state’s competitive position for research and development opportunities under the CHIPS Act, while stimulating additional private sector investment.

The passage of the CHIPS Act earlier this year catalyzed unique opportunities for the United States to attract and increase private sector investment in semiconductor equipment and materials, design, manufacturing, advanced packaging and leading-edge research.

Arizona’s new investment aims to capitalize on these opportunities and will focus on accelerated development, commercialization and manufacturing of the next generation of U.S. semiconductor-based technologies, while working alongside industry partners to identify and address research infrastructure and workforce needs.

Forbes recently labeled Arizona “Semiconductor Central” following a series of high-profile industry wins. Intel announced in March 2021 a $20 billion investment to build two additional fabs in the state, creating 3,000 jobs. Taiwan Semiconductor Manufacturing Company (TSMC) announced in May 2020 a $12 billion investment to build a new fab in Phoenix, creating 2,000 jobs.