Mahesh Bhatia’s Post

The WSJ reports that Chips Act funding could help boost the U.S.' share of advanced chip manufacturing to between 20-28% of global output and 14% of total chip output. While these numbers are a nice bump for the US, there are lots of challenges along the way, including: - Replenishment of funds and tax incentives in the plan to keep money flowing. - The sheer expense of building a fab - estimated in this article at approximately $20 billion. - Competition from governments and regions around the world to boost their own chip ecosystems. Worth the read. #techPR #silicon Wireside Communications® https://lnkd.in/eAmnTM7w

The world of #chips is on the cusp of a huge tidal shift. This article lists four #trends to look for that will define what the chips of the future will look like, who will make them, and which new technologies they’ll unlock. Read it here: https://bit.ly/4dGPHuL #TechNews

Today's WSJ (Asa Fitch) reports: "In a series of articles this week, Wall Street Journal reporters from around the world go inside the escalating global chip battle. At stake: leadership of an industry expected to double in size by the end of the decade to $1 trillion. Two years into a nearly $53 billion government effort to shore up the U.S. chip industry, the program’s impact is becoming clearer: Big companies making advanced chips are getting a boost, but there are limits to what the money can do. #ChipsAct #semiconductorindustry #waferfabs

As Taiwan's tech prowess continues to shape the world, the story of its semiconductor success serves as inspiration for innovators globally. The island's resilience and adaptability stand as a testament to the impact a small device can have on an entire nation. #TechInnovation #TaiwanSuccessStory #SemiconductorRevolution #GlobalTechImpact #globalbusiness https://lnkd.in/gjf_924X

🔹 U.S. Embarks on a Bold 5-Year Chip Initiative 🔹 In a pivotal move to fortify its semiconductor landscape, the U.S. has rolled out a comprehensive 5-year chip plan. This strategy is not just a leap forward for the industry but a catalyst for innovation and competitive edge on a global scale. 🔹 Strategic Investment: Focused funding to spur advancements in chip technology. 🔹 Innovation Boost: Aiming to drive technological breakthroughs and industry leadership. 🔹 Global Competitiveness: Enhancing the U.S.'s stance in the semiconductor arena. This initiative is a testament to the nation's commitment to technological supremacy and economic resilience. How do you see this shaping the future of tech and business landscapes? Share your insights below! 🌐 🔗Read the full article: https://lnkd.in/etBcZtKj #Semiconductor #Innovation #Technology #EconomicGrowth #GlobalCompetitiveness #TechIndustry #BusinessStrategy #USeconomy #ChipTechnology #FutureOfTech

Designed to bring semiconductor production back to US soil, the CHIPS Act is fueling economic and population growth. One market in particular, Phoenix, AZ has emerged as a hub for chip manufacturing. #Phoenix #Technology #CHIPSAct #EconomicGrowth #InvestmentOpportunities #RealEstate #CRE #REinvesting

The Chips Act, a $53 billion government initiative launched in 2022 to bolster the U.S. semiconductor industry, faces challenges from overseas competitors and the high costs of chip production. While it aims to revitalize domestic chip manufacturing, it primarily benefits large companies like Intel, with a focus on advanced chip production. Despite political complexities and global competition, the White House touts the program's success in spurring investment in U.S. chip factories. Forecasts suggest a significant increase in U.S. chip production by 2032, partly due to similar efforts by other countries. However, concerns linger over whether all promised chip factories will materialize and if leading-edge chip production will remain overseas. Some investors worry about excessive spending on new construction, while smaller companies like SkyWater Technology have missed out on funding opportunities. Additionally, a shift in funding allocation towards defense-industry chips has impacted commercial chip research and production projects. The program's impact is constrained by the exorbitant costs of chip plants, with a single facility costing over $20 billion. Closing the gap in chip manufacturing would likely require hundreds of billions of dollars and several years. While industry leaders view the Chips Act as a positive step, they acknowledge the need for additional funding and support, possibly through tax incentives for equipment purchases. Intel's CEO emphasizes the importance of such incentives for long-term industry growth. Lobbying efforts are underway to extend the tax credit beyond its 2026 expiration date. https://lnkd.in/gee2heUZ

I found a few articles interesting this morning in my study of the Chips Act 2022. The semiconductor industry is primed globally with the emergence of artificial intelligence. The United States has plans to allocate significant funds to facilitate chip manufacturing infrastructure. " The focus is on the Chips Act, a $53 billion government initiative launched in 2022 to bolster the U.S. chip industry. While the program aims to revitalize domestic semiconductor production, its impact is being scrutinized, revealing both successes and challenges." https://lnkd.in/gjS7cNsW I also find it interesting that Taiwan produces a large majority of the advanced AI chips. Development of these facilities will be essential to the future in order to innovative technology. Taiwan is also predominantly exempt from the tariffs related to microchips due to trade agreements with the US. This deal will ensure that Taiwan can Bolster its AI manufacturing. But at what cost and for how long? Government infrastructure development is the United States' way of practicing risk management. Firms must develop diversified sources of chip manufacturing capabilities, especially amidst global uncertainty. Are all of our eggs in one basket? Curious to hear my linked-in communities' thoughts on this topic?

The Biden-Harris administration, partnering with Micron Technology, announces a major initiative to revitalize the U.S. semiconductor landscape. This pivotal move, set to channel billions into domestic DRAM chip production, aims to restore American prowess in a critical technology sector.   The Big Move Back Home The agreement inked between the U.S. #BidenHarrissemiconductor #CHIPSandScienceAct #DRAMchipproduction #leadingedgeDRAMtechnology #MicronDRAMexpansion #Micronjobscreation #nationalsecurityandsemiconductors #semiconductorindustrygrowth #USchipmanufacturing #USTechnologyLeadership

How is the CHIPS Act doing so far? A great overview from Asa Fitch at the The Wall Street Journal where I shared my thoughts on the topic, and how had it not been for the CHIPS Act, U.S. chip production would slide into further terminal decline. "Regardless, the money will give the U.S. a major boost in making the most cutting-edge chips, said Jimmy Goodrich, a senior adviser for technology analysis to Rand, and is likely to change the trajectory for a U.S. industry that had fallen behind much of the rest of the world. Without the program, Boston Consulting estimated, the U.S. share would have fallen to 8% in 2032." “What the Chips Act is going to do is arrest that terminal decline, right the ship and put it back on a more stable path,” Goodrich said. “It might slightly increase U.S. overall chip production, but the more significant increase is going to be the relative share” of advanced chip production. #semiconductors #supplychains #technology #CHIPSAct #domesticinvestment #chipwars #chiprace #microchips #trade #technologyleadership