Governor Announces $100M Investment in Arizona’s Semiconductor Industry
Written by Tom Joyce, The Center Square
Published Nov. 7, 2022
Arizona Gov. Doug Ducey announced a $100 million investment in the state’s semiconductor industry, according to a press release from his office.
“Arizona has earned a place as one of the world’s leading destinations for chip design, manufacturing and innovation,” Ducey said in a press release. “With historic opportunities before us, this funding ensures we make the most of this moment and cement our semiconductor leadership for decades to come. My thanks to all our partners in the private sector and higher education for their commitment to expanding our high-tech economy.”
The state hopes to grow its semiconductor industry and hopes that this move will allow such growth to continue, according to the governor’s office.
“Today’s consequential funding capitalizes on that momentum, aiming to establish a world-class public-private partnership focused on the development and manufacturing of next-generation semiconductor technologies,” the press release read.
The Arizona Commerce Authority will manage the funding “to further enhance Arizona’s semiconductor infrastructure, workforce and research capabilities,” according to the release.
Additionally, the governor’s office hopes the funding will make the state competitive in attracting research and development opportunities under the CHIPS Act while encouraging further private-sector investment.
“Under Gov. Ducey’s leadership, Arizona’s economy has experienced unprecedented diversification and high-tech growth,” Sandra Watson, president and CEO of the Arizona Commerce Authority, said in the release. “By investing in our advanced manufacturing workforce and core research capabilities, this funding promises to take that transformation even further.”
The governor’s office praised the passage of the federal CHIPS Act, which it says will “grow private sector investments in semiconductor equipment and materials, design, manufacturing, advanced packaging and cutting-edge research.”
“Arizona’s new investment seeks to capitalize on these opportunities and will focus on the accelerated development, commercialization and manufacturing of next-generation U.S. semiconductor-based technologies while working alongside industry partners to identify and address research infrastructure and workforce needs,” the news release said.
Forbes recently called Arizona “Semiconductor Central," the governor’s office pointed out. It noted Forbes called the state this after two companies made major investments in the state. Intel announced a $20 billion investment to build two additional fabs in the state in March 2021, creating 3,000 jobs. And before that, Taiwan Semiconductor Manufacturing Company (TSMC) announced an investment of $12 billion to build a new fab in Phoenix in May 2020, creating 2,000 jobs.
Additionally, the state said it has been a national leader when it comes to semiconductor chip manufacturing expansion.
“Arizona also has helped convene multi-state conversations around the U.S. semiconductor environment through the advancement of the National Semiconductor Economic Roadmap,” the release said. “The coalition, which has plans to publish a final roadmap in the coming weeks, is led by industry and includes active participation from academia and other states.”