Oct 6, 2022 - Economy

Biden: The US can "own" next decade of global tech race

President Joe Biden delivers remarks at the IBM facility in Poughkeepsie, New York.

President Biden delivers remarks at the IBM facility in Poughkeepsie, New York. Photo: Mandel Ngan/AFP via Getty Images

The United States is better positioned to win the next decade of the 21st century with technological advancements and chip factories, President Biden said Thursday after touring the IBM plant in upstate New York.

Why it matters: The Biden administration has been investing in chip factories through the CHIPS and Science Act of 2022, which provides grants for companies to build semiconductor factories and plants.

Driving the news: IBM announced a $20 billion investment over the next 10 years into research and development and manufacturing semiconductors and technology across upstate New York.

  • The announcement comes days after memory chip maker Micron said it plans to commit up to $100 billion over the next 20 years to build a computer chip factory in the same area.

What he said: "More is going to change for the better in the next 10 years than happened in the last 40 years," Biden said.

  • "We are better positioned than any other nation in the world to own the second quarter of the 21st century," he added.
  • "When you have the best infrastructure in the world, companies invest where the infrastructure is," Biden said.

Zoom in: The president said it's important for the United States to develop technology to create vaccines for cancer and cure HIV, as well as stay in competition with China's military.

  • "We need semiconductors ... to create weapons systems for the future," Biden said.

Background: Biden visited IBM’s Poughkeepsie, New York, site to speak with workers there and tour the site.

  • Poughkeepsie is the only IBM site where the company builds mainframe systems. It's also home to IBM's quantum computer system.
  • IBM said it hopes the Poughkeepsie site will become "a global hub of the company’s quantum computing development," according to a White House official.

Go deeper: Chip billions won't be a quick fix

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