With the new Chips and the Law of Science A total of 280 billion US dollars. The U.S. government believes huge investments in domestic chipmaking are necessary to compete with China and become less dependent on Asian chipmakers such as Taiwan’s TSMC and South Korea’s Samsung.
‘Once in a Generation’
Biden says it’s a “once-in-a-generation” investment America is making. “The future will be made in America,” Biden said. Top officials from major tech companies such as AMD, Intel, Micron and HP attended the CHIPS Act signing event. According to the Biden administration, chipmakers will only receive subsidies for new U.S. chip factories “unless they build some facilities in China and other countries.”
Today, American chip company Micron announced that it will invest $40 billion in the production of memory chips in the United States. Intel, Samsung and TSMC plan to spend billions building new chip factories on US soil. According to Biden, this could create a total of one million new jobs over the next six years.
China is also investing heavily
After the corona virus, the whole world is Shortage of chips, this is a problem for car and gadget manufacturers. Rising tensions between China and Taiwan have raised concerns about chip shortages and the technology sector’s dependence on China. For example, the distribution of new iPhones are struggling Conflict between two countries. Many iPhones are assembled in China but have chips from Taiwan.
At the moment, China still does not play a major role in the production of chips, but the US government fears that this will change in the coming years. The Chinese government is also investing Many billions In-house chip manufacturing.
The US government recently implemented Press Netherlands Weldon should ban chip machine maker ASML from selling certain technologies to Chinese companies. ASML is the world’s leading manufacturer of chips making machines.
American chipmakers account for nearly half of global chip sales. But only 12 percent of global chip production takes place in factories in the U.S., with most being produced in Asia.
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