The Biden administration announced Thursday that Albany, New York, will host a major research hub for the National Semiconductor Technology Center, an initiative to strengthen domestic chip production and reduce reliance on foreign technology sources, the New York Times reports.
The center, which will focus on research into chip manufacturing machinery, represents a significant investment of $825 million as part of the $11 billion earmarked for semiconductor research and development in the CHIPS and Science Act of 2022.
Senator Chuck Schumer, who has championed the facility’s location in his home state, called the development “historic,” adding that it would strengthen both US national and economic security.
“It’s going to keep our country, our national security and our economic security way ahead,” he said.
The Albany site, located within the Albany NanoTech Complex, the largest chip research center in North America, will house advanced chip-making equipment and host prominent technology companies such as IBM, GlobalFoundries, and ASML. Albany’s designation comes as part of the administration’s broader semiconductor initiative, with additional hubs for chip design and packaging to be announced at a later date.
According to Commerce Secretary Gina Raimondo, the technology center aims to accelerate chip innovation by reducing the time and cost associated with bringing new designs from concept to market. The center will also establish an investment fund to support start-ups in chip technology and offer access to experimental manufacturing facilities, promoting a supportive environment for technological advancement in areas like artificial intelligence.
This announcement builds on bipartisan efforts to revitalize the chip industry, including the CHIPS Act, which allocated $39 billion for domestic semiconductor manufacturing subsidies. While some chipmakers have voiced concerns about funding delays, Biden administration officials have pointed to significant gains in new factory construction within the US semiconductor sector.
The Albany site adds to New York’s growing reputation as a semiconductor manufacturing hub, with ongoing projects from companies like GlobalFoundries and Micron Technology. If current plans reach fruition, Schumer notes, about a quarter of the US-made chips could be produced in the Buffalo-to-Albany corridor.
