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Not to sound nationalistic, but the fact that we(USA) are not setting up fabs like crazy makes me feel like it's temporary. The same way Georgia Pacific and fr
by silisili 5y ago
Not to sound nationalistic, but the fact that we(USA) are not setting up fabs like crazy makes me feel like it's temporary. The same way Georgia Pacific and friends didn't set up tons of TP factories during the pandemic.
I figure someone much smarter than me ran the numbers and decided it's not worth the cost. And chips being in such shortage for many years would likely be worth the cost.
All of that said, I wish the US gov would sponsor in some way new fabs in the US. It's nearly a national security risk at this point.
- whichquestion 5y agoThe US Government did precisely that with the CHIPS Act (2021). It allocated something like $40B for US manufacturing of semiconductors and $10B for R&D [1]. Intel is planning a megafab in Ohio that is estimated will cost $100B when it’s completed. The State of Ohio is giving $2B for the first two plants that are estimated to cost $20B [2]. Chip companies are making new fabs in the US and the US gov is helping to sponsor them. [1] https://www.nist.gov/semiconductors/chips-act https://www.nist.gov/semiconductors/chips-act [2] https://www.usatoday.com/story/business/2022/04/14/intel-negotiations-being-finalized-jobsohio-executive-says/7282513001/ https://www.usatoday.com/story/business/2022/04/14/intel-neg...
- silisili 5y agoExcellent, thank you! I suppose I should have researched more recently before commenting. The fact that this doesn't make front page national news is mind boggling to me.
- johnny22 5y agodidn't it? I coulda swore i saw it on nbc news on tv, and i know i saw it in the washington post.
- carom 5y agoThere are a few new fabs being built in the south west US.
- reissbaker 5y agoIn addition to the current chip shortage economic concerns, it's also a national security issue. Many of the chips American tech companies depend on are built in Taiwan, and geopolitically that's pretty dicey given China's ambitions. It locks the US into effectively needing to defend Taiwan militarily if it gets invaded, or else the US economy would get crushed. (I mean, I think we should make sure Taiwan is never invaded and remains independent, but it's also not great to need to commit forces against a rival nuclear superpower if it does get invaded, given that said rival superpower continuously and loudly proclaims that Taiwan is part of its territory.)