SAN FRANCISCO—A group of semiconductor companies led by Intel Corp. and IBM Corp. will invest $4.4 billion over five years to create a semiconductor research and development hub in New York to develop next-generation chip technology, New York Governor Andrew M. Cuomo said Tuesday (Sept. 27).
The investment is centered around two projects, one led by IBM and its partners that will focus on building the next two generations of semiconductors, and another led by Intel that will focus on developing process technology for 450-mm wafers, dubbed the Global 450 Consortium, according to the statement issued by Cuomo's office.
Intel (Santa Clara, Calif.) is joined in the 450-mm development effort by IBM, Taiwan Semiconductor Manufacturing Co., Gloabalfoundries Inc. and Samsung Electronics Co. Ltd., according to the statement. Intel separately agreed to establish its 450-mm East Coast headquarters to support the overall project management in New York's capitol, Albany, according to the statement.
A spokesman for IBM said IBM
and its partners in the Common Platform process technology alliance,
Samsung and Globalfoundries, would focus research on developing 22- and
14-nm chips. Further details of the development work will emerge at a
later date, the spokesperson said. Of the $4.4 billion in total
investment in the two R&D projects, $3.6 billion will come from IBM,
said the spokesperson. According to Cuomo's statement, this new
commitment by IBM brings its total investment in chip technology in New
York to more than $10 billion in the past decade.
No private company will receive any state funds as part of the agreement, according to the statement from Cuomo. It is unclear if the companies involved will receive tax breaks or other incentives to locate the projects in New York. To support the project, New York will invest $400 million over five year in the SUNY College for Nanoscale and Science Engineering (CNSE) in Albany, including $100 million for energy efficiency and low cost energy allowances, according to Cuomo's office.
New York secured the investments in competition with countries in Europe, Asia and the Middle East, according to Cuomo's statement.
According to Cuomo's office, the two R&D programs will create about 4,400 jobs and result in the retention of another 2,500 existing jobs in upstate New York. The roughly 4,400 jobs that will be created include about 2,500 high-tech jobs at CNSE Albany NanoTech Complex, IBM., SUNY Institute of Technology in Utica and CNSE's Smart System Technology & Commercialization Center in Canandaigua, according to the statement.
"This unprecedented private investment in New York's economy will create thousands of jobs and make the state the epicenter for the next generation of computer chip technology," Gov. Cuomo said.
Some chip makers, including those involved in the Global 450 Consortium, are at the early stages of developing process technology to migrate from building chips on 300-mm silicon wafers to 450-mm wafers, which will allow them to produce more than twice as many chips per wafer. Equipment vendors initially resisted the migration to a new wafer size, but have gradually come on board and begun creating early-stage production tools.
Intel President and CEO Paul Otellini said in the statement released by Cuomo's office that the Global 450 Consortium is a critical element for moving the chip industry to the next-generation wafer size.
"This new technology will reduce the cost of production, increase productivity for manufacturers and reduce our environmental footprint on a per chip basis," Otellini said.
elPresidente: Glad you set the record straight. NYS has had a welcoming committee to invest in update New York around the Albany SUNY campus for a long time. Many companies have done nano research on the campus and its nanotech center. What's new is Intel's participation in the 450-mm wafer project with partners. Even Intel is lost in getting the needed yields out of pizza-pie sized wafers and needs help from others.
Hi folks, I wrote a blog post on this subject recently... below are details:
Title: Can 450mm decommoditize the semiconductor industry?
Abstract: Is the transition from 300mm to 450mm wafers just driven by 20-30% cost reduction? Or is there more to it than meets the eye? Let's take a look...
Check it out if you get a chance... and let me know what you think.
You really are clueless. There's nothing "new" about the location - IBM's fab has been around for DECADES and is not in New York CITY as you seem to think. It's in a very beautiful hilly part of the state. Also, look up "Cornell University" and "Columbia University" before you diss the education levels there.
Well, new silicon valley at east cost? Especially in a city where trillions of problems to face daily. i really wonder how these companies will be able to find workers. Why silicon valley at CA worked out cause of brilliant universities located around and genius people who was eager to move there. With NY despite tax breaks, state incentives, its quite blur how it would work out, and who would like to move there?
Bad news for tech, politics, and culture and the civil society. NY state has gone beyond the point of moral decency and continues to fall into the leftist abyss. This doesn't pass the 'smell' test... Cronyism between Ortinelli and Cuomo? Anti Christian agenda? I call for boycott on INTC and IBM. http://patriotupdate.com/12822/ny-panel-wants-taxpayers-to-foot-bill-for-sex-change
In fact, it is good news on more than one front: the jobs and rise in the economy, of course. (On
Wall Street, one saying is "a rising tide floats all boats".) The other is that it would be an increasingly rare example of the government doing what it should do: grease the skids, that is, enable companies to do business that might otherwise be uneconomic due to initial conditions. Government doesn't create jobs (other than civil service): Intel and IBM will do the creating. Government does the jump start and then gets out of the way. I hope...
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