After more than a year of wrangling, the Senate on Wednesday passed a bipartisan tech and science funding bill in a 64-33 vote. The CHIPS and Science Act commits $280 billion to be spent over five years in what is being called the largest manufacturing, research and development initiative of its kind. The largest single area of investment is $76 billion to fund domestic semiconductor production, which includes $24 billion in new tax incentives. Yesterday, the bill passed in a 243-187 House vote and now heads to President Biden’s desk to be signed into law. The legislation aims to bolster national security by making the U.S. chip independent and boosting competition against China. Continue reading Congress Passes CHIPS Act to Boost Production, Research

Taiwanese semiconductor giant GlobalWafers wants to invest $5 billion to construct a state-of-the-art 300-millimeter silicon wafer factory in Sherman, Texas, but only if Congress can fund the CHIPS for America Act, which passed in January 2021 and has been promised $52 billion but sits with an empty purse. The new GlobalWafers factory would be the first of its kind in the U.S. in 20 years and is expected to create 1,500 jobs. GlobalWafers president Mark England says if government incentives are not unleashed soon the company will “pivot to South Korea.” Continue reading GlobalWafers Ties Proposal for Texas Foundry to CHIPS Act

U.S. demand for semiconductors was as much as 17 percent higher in 2021 than it was in 2019, yet there hasn’t been a commensurate increase in the available supply, with median inventory falling to less than five days in 2021, from 40 days in 2019, according to a Commerce Department report. “If a COVID outbreak, a natural disaster, or political instability disrupts a foreign semiconductor facility for even just a few weeks, it has the potential to shut down a manufacturing facility in the U.S.” that makes anything from medical devices to automobiles to computers, the report concludes. Continue reading Commerce Secretary Sounds Alarm on Global Chip Shortage