Categoria:

California Democrats urge Biden not to scrap chips R&D funding

Autor: David ShepardsonAlexandra Alper

Biden arrives in San Francisco to host the APEC summit

U.S. President Joe Biden is greeted by California Governor Gavin Newsom as he arrives to host the Asia-Pacific Economic Cooperation (APEC) summit, in San Francisco, California, U.S., November 14, 2023. REUTERS/Kevin Lamarque/File Photo Purchase Licensing Rights, opens new tab

WASHINGTON, April 1 (Reuters) – California Governor Gavin Newsom and Senator Alex Padilla, both Democrats, urged the Biden administration on Monday to reverse its decision to cancel a subsidy program for building and expanding semiconductor research and development facilities.

The U.S. Commerce Department said late Friday it would scrap plans to fund the program from the $52.7 billion Chips and Science Act due to “overwhelming demand” for funding awards to subsidize chips production.

President Joe Biden, a Democrat who faces a close re-election battle against Republican Donald Trump in November, is aiming to boost domestic output as part of efforts to reduce reliance on China and Taiwan.

Newsom and Padilla called on the agency to undo its decision, arguing “without robust support for commercial R&D we risk our global leadership and ability to outpace our foreign competitors in the semiconductor industry.”

The push comes as the department faces numerous demands for chips funding.

“We urge the Department of Commerce to reconsider its decision and ensure investment in commercial R&D through the CHIPS Act to drive innovation and support the resurgence of domestic semiconductor manufacturing,” Newsom and Padilla added.

The Commerce Department said in response it was “continuously evaluating programmatic priorities to maximize the impact of available CHIPS funds,” citing a recent decision by Congress to dedicate $3.5 billion to make chip production facilities safe for military use production.

The Commerce Department never disclosed the amount planned for the R&D awards but a source told Reuters that department officials had discussed awarding $2.5 billion or more.

Commerce Secretary Gina Raimondo said last month leading edge chips companies have requested more than $70 billion but they are dedicating $28 billion to those projects.

Another $11 billion is dedicated to research and development, but that “cannot replace direct commercial investments,” Newsom and Padilla said.

Last month, Biden awarded Intel

(INTC.O), opens new tab

, nearly $20 billion in grants and loans for chips projects. Some of that money will go to Intel’s R&D hub in Hillsboro, Oregon.

In February, Commerce announced it was launching the $5 billion National Semiconductor Technology Center to create a private-public consortium to conduct research and prototyping of advanced semiconductor technology.

California-based semiconductor toolmaker Applied Materials Inc

(AMAT.O), opens new tab

, which said last year it planned to spend up to $4 billion in a research center in the heart of Silicon Valley, had been seen as a strong candidate for a research award.

California has invested billions of dollars through a R&D Tax Credit and California Competes Program to support the growth of semiconductor companies with large R&D operatives including NVIDIA, Applied Materials, and Lam Research, Newsom and Padilla said.

Get weekly news and analysis on the U.S. elections and how it matters to the world with the newsletter On the Campaign Trail. Sign up here.

Reporting by David Shepardson and Alexandra Alper; editing by Costas Pitas

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Deja una respuesta

Tu dirección de correo electrónico no será publicada. Los campos obligatorios están marcados con *

Te puede interesar también
el-error-ortografico-de-karol-g-que-desato-criticas-durante-su-visita-a-machu-picchu:-“la-embarraste-feo,-bichota”-|-ntn24.com
Estados Unidos

El error ortográfico de Karol G que desató críticas durante su visita a Machu Picchu: “La embarraste feo, Bichota” | NTN24.COM

La cantante colombiana Karol G es blanco de críticas en redes sociales por error ortográfico durante su visita a Perú. La artista que continúa con su Mañana será bonito Tour en Sudamérica, realizó dos espectáculos en el estadio San Marcos de Lima. Tras presentar sus shows, la ‘Bichota’ viajó a Cusco para visitar Machu Pichu.

Leer Más >>
asi-respondio-eiza-gonzalez-a-senalamientos-de-ser-racista
Estados Unidos

Así respondió Eiza González a señalamientos de ser racista

Se desató una nueva polémica alrededor de Eiza González. La actriz no se quedó callada. Publicado en Abril 21, 2024 11:37AM EDT Con el fin de promover la película The Ministry of Ungentlemanly Warfare , Eiza González y el elenco conformado por Henry Cavill y Babs Olusanmokun, entre otros, están asistiendo a diversas premieres en

Leer Más >>
what-makes-you-cough-when-something-goes-down-the-wrong-pipe?
Locales

What Makes You Cough When Something Goes Down the Wrong Pipe?

When a mouthful of water goes down the wrong pipe – heading toward a healthy person’s lungs instead of their gut – they start coughing uncontrollably. That’s because their upper airway senses the water and quickly signals the brain. The same coughing reflex is set off in people with acid reflux, when acid from the

Leer Más >>

¿Quieres hablar con nosotros en cabina?

Nuestros Horarios en el Estudio:

9am a 11am | 12m a 1pm | 4 a 5 pm | 5 a 6pm

horario del pacifico