GlobalFoundries boosts 're-shoring' investment
GlobalFoundries says it is working with the Trump Administration, with support from tech companies Apple, SpaceX, AMD, Qualcomm, NXP and GM, to onshore critical components of the supply chain with a total $16 billion investment in expanding chip manufacturing and packaging across its facilities in New York and Vermont.
This latest announcement builds on the company’s existing US expansion plans of more than more than $13 billion funding to both advance manufacturing of 200mm GaN on silicon semiconductors at its facility in Essex Junction, Vermont; and for its recently launched New York Advanced Packaging and Photonics Center. GF is committing an additional $3 billion, which includes advanced research and development initiatives focused on next-generation GaN technologies, packaging innovation, and silicon photonics.
The company says its investment is a strategic response to the explosive growth in AI, which is accelerating demand for next-generation semiconductors designed for power efficiency and high-bandwidth performance across data centres, communications infrastructure and AI-enabled devices.
Tim Breen, CEO of GlobalFoundries said: “The AI revolution is driving strong, durable demand for GF’s technologies that enable tomorrow’s data centres – including GF’s leading silicon photonics, as well as GaN for power applications. Meanwhile at the edge, GF’s proprietary FDX technology is uniquely positioned to support AI functionality with low power consumption. With all these technologies and more manufactured right here in the US, GF is proud to play its part in accelerating America’s semiconductor leadership.”
“GlobalFoundries investment is a great example of the return of United States manufacturing for critical semiconductors,” said US Secretary of Commerce, Howard Lutnick. “President Trump has made it a fundamental objective to bring semiconductor manufacturing home to America. Our partnership with GlobalFoundries will secure US semiconductor foundry capacity and technology capabilities for future generations.”
“GlobalFoundries has supplied semiconductors for Apple products since 2010 and we’re excited to see them expand right here in the United States. These chips are an essential part of Apple products like iPhone, and they’re a powerful example of American manufacturing leadership,” said Tim Cook, Apple’s CEO
Gwynne Shotwell, president and COO at SpaceX said: “Advanced semiconductors are critical to the advanced satellite capabilities which SpaceX has been pioneering for over two decades. We are excited by the expansion of GlobalFoundries’ manufacturing base right here in the US, which is core to Starlink’s growth and our commitment to manufacturing in the US, as well as our mission to deliver high-speed internet access to millions of people around the world.”
“As a strategic supplier of Qualcomm, GlobalFoundries shares our vision for strengthening US chip production capacity. This commitment from GlobalFoundries will help secure a resilient semiconductor supply chain to support the next wave of US technology innovation, especially in areas vital to enabling power efficient computing, connectivity, and edge intelligence,” said Cristiano Amon, president and CEO of Qualcomm Incorporated
“This collaboration allows us to scale efficiently, expand production in the US and continue delivering for our customers. It’s a strong step forward in building a resilient, high-performing semiconductor supply chain in the United States, ” said Kurt Sievers, CEO of NXP Semiconductors.
“Semiconductors are critical to the future of vehicles, and their importance will only grow. GlobalFoundries’ investment supports our work to secure a reliable, US-based chip supply—essential for delivering the safety, infotainment and features our customers expect,” said Mark Reuss, president of General Motors.
