The Biden administration has launched the National Semiconductor Technology Centre (NSTC) program to address the labor shortage in the US semiconductor industry. The program aims to cultivate the US computer-chip workforce and support the industry's growth. It will provide grants to workforce development projects using the $5 billion in federal funding allocated for the NSTC. The funding comes from the 2022 Chips and Science Act, which set aside $39 billion in grants for US chipmaking and $11 billion for semiconductor research and development. The US aims to produce at least a fifth of the world's most advanced chips by 2030 but is projected to be short 90,000 technicians by that time. Since the Chips Act was signed, over 50 community colleges have announced new or expanded semiconductor-related programs. The largest manufacturing awards under the Chips Act included dedicated workforce funding for Intel, Taiwan Semiconductor Manufacturing Co, Samsung Electronics, and Micron Technology [8f840dc0].
President Joe Biden's CHIPS and Science Act, which allocated $52.7 billion for semiconductor manufacturing and research, is having a significant impact on the microelectronics industry in Arizona. Arizona State University (ASU) has played a key role in revitalizing the industry in the state. ASU's School of Engineering has expanded and increased enrollment to meet the growing demand. The university has developed partnerships with semiconductor industry companies, attracted new industry investment to Arizona, and is leading a Department of Defense Microelectronics Commons innovation hub. ASU's efforts have contributed to Arizona becoming a leader in recent private-sector semiconductor investments, with $64 billion since 2021. ASU's Fulton Schools of Engineering, with over 32,000 students, including 7,000 in microelectronics-related fields, provide a major pipeline of talent for the industry. ASU's MacroTechnology Works facility has attracted significant outside investment and serves as a place where private industry and academia collaborate to turn ideas into commercially viable products. The university continues to work with industry and government agencies to accelerate industry growth and meet the demand for a skilled workforce.
Indiana University (IU) has also received $2 million in funding from the Department of Defense to support the launch of new pilot programs aimed at attracting more women and underrepresented populations to the semiconductor industry. The initiative is part of the Semiconductor Workforce Development Program, led by Purdue University and managed by NSWC Crane. The pilot programs at IU, led by Joanna Millunchick, dean of the IU Luddy School of Informatics, Computing and Engineering, include EDGE X, EDGE Academy, and EDGE Works. EDGE X targets K-12 students and will produce learning materials and a web series on the semiconductor industry. EDGE Academy focuses on retaining undergraduate students pursuing STEM degrees, while EDGE Works aims to develop workers' skills in the semiconductor industry through industry-driven curriculum. The pilot phase of these programs will be funded through 2026.
However, the US chip industry is facing a skilled worker shortage that threatens its growth. The number of Americans studying in relevant graduate programs has remained stagnant for 30 years, and the Semiconductor Industry Association predicts a shortfall of 67,000 skilled workers by 2030. Without an increase in skilled workers, companies may demand additional subsidies or shift production to other countries, leading to a loss of US technological leadership and national security benefits.
To address this issue, proposed solutions include the creation of a specialized visa program, known as a 'chipmaker's visa,' that would auction a certain number of visas for high-skilled workers. Additionally, increasing the overall number of visas for high-skilled immigrants with in-demand STEM skills is suggested. Comprehensive immigration reform is also seen as a potential solution to attract more skilled workers to the US chip industry. These measures aim to prevent the fading of US chip industry dreams and ensure its continued growth and technological leadership.
GlobalFoundries, the third-largest chipmaker globally, is recruiting talent in the tight labor market as the competition for talent ramps up and funding from the CHIPS and Science Act continues to be dispersed. The semiconductor industry is facing a projected shortfall of as much as one million workers in the broader U.S. economy by 2030. The U.S. chips industry is expected to face a shortage of 67,000 technicians, computer scientists, and engineers by 2030. GlobalFoundries is casting a wide net to recruit talent, including veteran candidates, employees from workforce reentry programs, and an initiative for women in construction. The company has launched an apprenticeship program and is working to fill hundreds of roles worldwide. It is also offering benefits such as a tax-free lifetime total of $28,500 toward student debt. Funding from the CHIPS and Science Act will help create manufacturing jobs and construction jobs. GlobalFoundries aims to solve recruitment challenges through workforce development and benefits offerings. [55548645]