Author Atkinson | Release Date August 13, 2024 10:15 | Category Semiconductor, Technology Policy, Financial Policy

The United States' "CHIPS and Science Act" has reached its two-year anniversary, and the White House has announced the results. The semiconductor and electronics industries have seen over $395 billion in domestic investment and the creation of over 115,000 job opportunities.

According to a White House press release, President Biden signed the "CHIPS and Science Act" two years ago with the goal of rebuilding America's leadership in semiconductor manufacturing, supporting global supply chains, and bolstering national and economic security. While the US invented semiconductors decades ago and used to produce nearly 40% of the world's chips, today it only accounts for 10% of global capacity and does not produce the most advanced chips. The "CHIPS and Science Act" aims to change this by investing nearly $53 billion in US semiconductor manufacturing, research, and talent.

Dozens of companies have already committed to investing over $395 billion into US semiconductors, largely as a result of subsidies provided by the "CHIPS and Science Act." The Department of Commerce has signed preliminary agreements with 15 companies in 15 states, providing over $300 billion in direct funding for semiconductor manufacturing projects and approximately $250 billion in loans.

The investment has also supported over 115,000 direct construction and manufacturing jobs, as well as investment in workforce development and training to ensure that American workers can manufacture more chips. The US aims to produce nearly 30% of advanced semiconductor chips globally by 2032, a significant increase from nearly zero before the "CHIPS and Science Act."

As part of the "CHIPS and Science Act," the Biden administration has also invested in technology centers in various regions to stimulate innovation. Through the Rebuilding Competitiveness Initiative, they aim to revitalize federally neglected areas and develop semiconductor ecosystem research and workforce programs.

(Picture source:President Biden)