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GF to Boost US Chip Ecosystem With New Funding

GlobalFoundries said it is investing US$16 billion to expand its semiconductor manufacturing and advanced packaging capabilities. Accordingly, the major investment is in response to the growth of artificial intelligence (AI), which is accelerating the demand for next-generation semiconductors.  

Accordingly, the company is working closely with the U.S. government and other tech companies to onshore critical components of their supply chain. The investments are aimed at GF’s facilities in New York and Vermont in the United States.

Reshoring Chip Production to U.S.

Among the major tech players, GF is collaborating with companies such as Apple, SpaceX, AMD, Qualcomm Technologies, Inc., NXP, and GM. Specifically, the companies have committed to reshoring their semiconductor production to the United States and diversifying their global supply chains. These companies partner with GF to support their production of U.S.-made chips, underscoring GF’s role as a trusted supplier of essential semiconductors and a key enabler of supply chain security.

GlobalFoundries’ headquarters in Malta, New York (file photo/image credit to GF)

“At GlobalFoundries, we are proud to partner with pioneering technology leaders to manufacture their chips in the United States—advancing innovation while strengthening economic and supply chain resiliency,” said Tim Breen, CEO of GlobalFoundries.  “The AI revolution is driving strong, durable demand for GF’s technologies that enable tomorrow’s datacenters – 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 U.S., GF is proud to play its part in accelerating America’s semiconductor leadership.”

The rapid rise of AI in both the cloud and at the edge is driving the adoption of new technology platforms and 3D heterogeneous integration technologies. Therefore, advanced solutions are essential to meet the exponentially growing requirements for power efficiency, bandwidth density, and performance.

For that reason, GF is leveraging its unique position to lead in this space, with its 22FDX® and silicon photonics capabilities. Specifically, those located in its in New York production and the advanced development of differentiated GaN-based power solutions in Vermont.

Investment Details

GF’s investment builds upon the company’s existing U.S. expansion plans, including more than US$13 billion to expand and modernize its New York and Vermont facilities. This will also fund its recently launched New York Advanced Packaging and Photonics Center – the first U.S.-based facility of its kind dedicated to silicon photonics packaging.

Moreover, GF is also committing an additional US$3 billion, which includes advanced research and development initiatives focused on packaging innovation, silicon photonics and next-generation GaN technologies.

GlobalFoundries’ Fab 9 facility in Essex Junction in Vermont (file photo/image credit to GF)

In aggregate, these investments represent a US$16 billion plan to strengthen U.S. semiconductor leadership and accelerate innovation in AI, aerospace, automotive and high-performance communications.

“Today’s announcement is a direct result of President Trump’s leadership and his vision to bring back high-paying manufacturing jobs and reestablish secure, domestic supply chains for critical technologies,” said Dr. Thomas Caulfield, Executive Chairman of GlobalFoundries.  “We look forward to continuing to work with the U.S. government to help create the conditions for industry and government to work together and drive meaningful, long-term impact.”

05 June 2025