GlobalFoundries to seek CHIPS Act funds for Vermont chip plant

WASHINGTON: GlobalFoundries, one of the world’s top chip manufacturers, plans to seek U.S. government funding from the recently approved CHIPS Act to update its chip factory in Vermont, CEO Tom Caulfield told Reuters on Monday.

The facility, located in Essex Junction, Vermont, produces 200 millimeter wafers and needs to be revamped, Caulfield said. “With partnership investments with the U.S. government, we can create a facility that has been around for 50, 60 years and give it its next 50, 60 years of longevity,” he said.

The remarks come a day before U.S. President Joe Biden plans to sign the CHIPS act into law. It will provide $52 billion in subsidies for chip manufacturing and research, as well as an estimated $24 billion investment tax credit for chip plants.