GlobalFoundries gets $1.5 billion in federal chip-manufacturing funds
Newsy
The money will allow the company to modernize two existing computer chip plants in the U.S. and construct a third.
The Biden administration plans to devote $1.5 billion to chipmaker GlobalFoundries so it can expand production in New York and Vermont.
The government will also make another $1.6 billion in loans available.
The payment comes under the CHIPS And Science Act, which will ultimately distribute more than $50 billion in domestic computer chip manufacturing and R&D investment.
GlobalFoundries says it intends to use the money to modernize two existing plants in Burlington, Vermont and Malta, New York. It will also construct a new plant in Malta.
Construction is expected to drive 9,000 new jobs over the next ten years, while manufacturing will add 1,500 jobs in the new plants. As a condition of funding through the CHIPS Act, GlobalFoundries will spend $10 million on new skills training and will continue a $1,000-per-year child care subsidy for construction workers on the project.
