N.Y. business leaders push for federal chip funding
A coalition of New York businesses, along with Sen. Charles Schumer (D-N.Y.), is making its case that the Empire State should be a prime beneficiary of federal funding for the domestic semiconductor industry.
State of play: Congress's push to pass funding for the U.S. chip industry remains stalled, but regions of the country are already trying to make their case for a share of the money.
Driving the news: Executives from IBM, GlobalFoundries, Analog Devices and Applied Materials, among dozens of other business and academic leaders, sent a letter to the state's Congressional delegation making the case for both passage of the stalled chip industry funding and for directing a big chunk of that money to the New York region.
- "We have no time to waste," the New York-area business leaders write in their letter, which was seen by Axios. "For the United States to retain its semiconductor leadership, we must act with speed and the (federal government) should use existing assets to produce results quickly."
Schumer makes a similar case in a separate letter to Commerce Secretary Gina Raimondo.
- "As we work with the House to pass a final bill into law and as the Administration begins planning for implementation of the semiconductor programs, I want to highlight for you the central role New York can play in quickly expanding domestic chip production and enhancing the nation's R&D leadership," Schumer wrote.
Between the lines: There is support for such funding across party lines, but it has yet to get final approval from Congress despite months of intense lobbying from tech leaders.
- Companies including Intel and Micron have said they are ready to invest in U.S. manufacturing but need federal funding to help even out the higher cost of making chips here versus in Asia.