Schumer announces Trump-proof CHIPS funding

ALBANY, N.Y. (NEXSTAR) — The Biden-Harris administration announced $6.165 billion in federal CHIPS funding for Micron Technology on Tuesday. According to Senate Majority Leader Chuck Schumer, the money is “locked in” and won’t be vulnerable to any possible manipulation from the incoming Trump administration.

“I wanted to make sure, under a new administration, it couldn’t be pulled back,” Schumer said in the press call announcement available below. “It cannot [be pulled back], now. The money is right there, in the bank.”

The funding adds to recent, ongoing multi-billion-dollar public and private investments into the state’s burgeoning semiconductor manufacturing industry over the next 20 years, potentially transforming the economy. By 2030, according to Gov. Kathy Hochul, 25% of all American-made chips will come from Upstate New York.

Schumer said the $6 billion will create 50,000 well-paying jobs for New Yorkers. An analysis from the federal Department of Commerce (DOC), however, projected just new 9,000 manufacturing jobs and new 4,500 construction jobs statewide.

Funding for Micron’s superconductor factories is part of the strategy to increase the share of U.S. chip production from under 2% today to 10% by 2035. These chips power computers, smartphones, electric vehicles, and even military systems. DOC is supposed to oversee these funding agreements and make sure that companies meet certain conditions of the federal CHIPS and Science Act before paying out.

A robust local industry would make the U.S. less reliant on imports, ideally boosting national security. It would also spur growth and create a skilled workforce in these Rust Belt communities hit hard by industrial decline.

Micron plans to build a manufacturing campus—in Clay, New York, about 15 miles north of Syracuse—with four production plants and 2.4 million square feet of clean-room space.

Focusing on apprenticeships, STEM education, and diversity, Micron plans for workforce training in partnership with colleges, unions, and other local groups. Their initiatives include K-12 programs like Chip Camp and Syracuse University’s veteran programs. Construction jobs are also supposed to honor labor agreements that prioritize safety and fair wages.

The company has also targeted environmental sustainability, aiming to reduce waste and achieve 100% carbon-free electricity by 2030. Micron projects that 30% of eligible construction spending and 20% of operating spending will go to diverse and small businesses.

Beyond the company’s investment in New York, they’re also expanding in Idaho and Virginia. As part of the federal project, Micron has already committed to spending $50 billion by the end of the decade.

And elsewhere in New York, GlobalFoundries is expanding facilities in Malta; Corning got funding to enhance glass production, which is integral in semiconductor manufacture; and Albany NanoTech represents a hub for innovation and collaboration across the supply chain.