Politico Pro: Biden admin chooses California for new computer chip design facility
By Tyler Katzenberger
SACRAMENTO, California — Silicon Valley is slated to house a new national computer chip design center aimed at boosting America’s tech industry on the world stage, the U.S. Department of Commerce announced Friday.
Why it matters: The facility planned for Sunnyvale, California, is part of a public-private research consortium established under the bipartisan CHIPS and Science Act. The 2022 law was passed with the goal of making the U.S. semiconductor industry more competitive with overseas advanced computing hubs in places like China and Taiwan.
Semiconductors are integral components of nearly all electronic devices from smartphones to satellites and even cars.
“Thanks to the Biden-Harris Administration’s announcement, California will continue to shape the coming decades across the most critical sectors of our economy and national security,” Gov. Gavin Newsom said in a statement to POLITICO.
Key details: The California center, officially known as the CHIPS for America Design and Collaboration Facility, is one of three nationwide hubs for the National Semiconductor Technology Center. The first was announced Thursday to be hosted in Albany, New York, while the third has yet to be disclosed.
The NSTC is a public-private partnership to advance computer chip research.
California faced fierce competition from other states like Texas, Arizona and Oregon in its bid to secure an NSTC facility. Democratic Sen. Alex Padilla and more than a dozen other California lawmakers penned a letter in April asking Commerce Secretary Gina Raimondo to award the state a site over other competitors.
Padilla in a statement Friday said the Sunnyvale facility “will capitalize on our state’s unparalleled assets to grow a highly skilled workforce and develop next-generation advancements.”
What’s next: Dee Dee Myers, director of the California Governor’s Office of Business and Economic Development, told POLITICO the location is anticipated to create 200 direct jobs and generate $1 billion in research funding over the next 10 years.
The Sunnyvale facility will focus on computer chip design, workforce training and research collaboration. Other NSTC hubs will focus on chip manufacturing and packaging.
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