Before Trump takes charge on January 20, the Biden-Harris Administration wants to complete some of its major plans. One such plan is to make the U.S. self-dependent in terms of semiconductor manufacturing.

In that pursuit only, last Friday, the U.S. Department of Commerce under the U.S. government announced funding worth $4.745 billion to Samsung Electronics. This funding is coming under Biden’s CHIPS Incentives Program.

It will act as a support to the investment of $37 billion by Samsung in the coming years to grow and increase its presence in Central Texas.

This will lead to Samsung further strengthening its strong existence in the semiconductor ecosystem in the US. Further, the company will also be able to expand their Austin facility along with the development of leading-edge fab and R&D labs.

Why Samsung?

Samsung has been creating chips since 1996, marking them as one of the earliest semiconductor manufacturers.This investment not only shows the trust in partnership between the country and the company but also reinforces the trust of the US government in Samsung.

According to U.S. officials in U.S. department of Commerce, this is one of the greatest investments they have done which will make U.S. the only country in planet that is home to all five leading-edge semiconductor manufacturers.

Samsung with these investments will create up to 12,000 construction jobs and more than 3,500 manufacturing jobs in next 5 years.

Biden wants to make the legacy of U.S. strong before his tenure ends. He wants to complete all his pending work regarding the manufacturing of semiconductor in the country. The government expects that 125,000 jobs would be created across 21 states in coming years through semiconductors industry.

CHIPS for America..

The US Chips Act is an economic plan of the present U.S. government that promises to invest in America, increase private sector investment, and create high-paying jobs within the country. The CHIPS has two major offices: the “CHIPS program office, “which regulates manufacturing incentives, and the “CHIPS R&D office,” which manages the R&D programs. Both offices are at the Department of Commerce.

To know more, you can visit here US CHIPS ACT

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BENEFITS OF THIS NEW INVESTMENT

Modern semiconductor chips are acting as the new oils for geopolitics, deciding the dominance of a country, and America, being a superpower, does not want to be left out in one of the most crucial segments of modern electronics, which serves as the backbone of the complete computing systems.

With these investments, America is strengthening its economic as well as national security, further helping the U.S. to hold a strong position in the global supply chain.