What you need to know
- Microsoft is one of the founding members of the Semiconductors in America Coalition.
- Apple, Google, Amazon, and several other tech giants are also part of the coalition.
- The main goal of the coalition is to secure funding for domestic manufacturing of semiconductors.
Microsoft joined Apple, Google, Amazon, and several other tech giants to form the Semiconductors in America Coalition (SIAC). The SIAC's goal is to promote semiconductor manufacturing in the United States. Specifically, the "SIAC's primary focus is to secure funding for the CHIPS for America Act," as explained in its post announcing its formation.
The SIAC has already taken its first step to promote semiconductor manufacturing by sending a letter to Congressional leadership. The letter supports President Biden's recent call for $50 billion in funding for semiconductor manufacturing incentives and research investments as part of the CHIPS for America Act.
The SIAC is made up of all members of the Semiconductor Industry Association (SIA), as well as Amazon Web Services, Apple, AT&T, Cisco Systems, General Electric, Google, Hewlett Packard Enterprise (HPE), Microsoft, and Verizon. SIA's members include AMD, Intel, NVIDIA, Qualcomm, and Samsung.
The U.S. only accounts for 12% of global manufacturing capacity, compared to 37% in 1990. The SIAC points to subsidies from other governments that it believes place the U.S. at a competitive disadvantage for attracting new facilities.
"It is 20-40% more expensive to build and operate a fab in the U.S. compared to overseas," explains the letter.
Generally speaking, industry funding isn't as partisan of an issue as many other things discussed in Congress, so there's a better chance of it getting approved than more controversial issues.
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USA: "The reason why we're dead behind in semiconductor production and just about everything else, is because we're too cheap to build our own products. We just outsource to save money and as a result, leave millions of capable workers unemployed and homeless in our country".
If you weren't out in the streets protesting NAFTA, the WTO, and the Summit of the Americas, you only have the citizens to blame. There was resistance to this, but it was all deemed "too left-wing" by the press, democrats, and republicans. I got pepper-sprayed in Quebec at the 3rd SoA and tried to do my part. To hear those on the right now bemoan 40 years of neoliberalism ushered in by Reagan ...well, I have little empathy. Maybe try to be on the right side of history when it matters. The powers that be told us what they were doing.
A little over 50 years ago, citizens like me were getting attacked by dogs, fire-hosed down and beaten by police officers, while peacefully protesting for the right to be treated like a human being. Homes and churches firebombed, crosses burned in the front yards, for being a "citizen" standing for equality. Assassinated for speaking the truth: MLK, Medgar Evans, Malcolm X. Maybe you've heard of them..... Not all "citizens" voices are heard. I protest with my vote. It got that idiot out of the White House. I've always been against outsourcing, and I try to support american-made products and small businesses, because I know that it keeps people employed. Making assumptions about a person is a dangerous thing 😉
Your politics are yours, but "the citizens" are right. They'd like cheap products because the standard of living isn't just about wages, it's also about the prices of goods. And most of the loss of manufacturing - and I mean 95+% of it in the 40 years of "neoliberalism" you speak of - is due to automation, not trade. Manufacturing is down in ALL advanced countries, including Japan and Germany. Other advanced countries do a better job helping their poorest by strengthening their welfare states, not putting up trade barriers and bemoaning "neoliberalism".
"We're too cheap to build our own products. We just outsource to save money and as a result, leave millions of capable workers unemployed and homeless in our country". Before the pandemic, the US had a 3.4% unemployment rate, and homelessness has been falling nationwide for years. The companies mentioned in the article are begging for government money. It's corporate welfare. It's not like they can't fund that themselves. Combined they make hundreds of billions in revenue every quarter and they're hugely profitable.
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