Science & Technology

Chip Company ASM to Build US Base in Arizona

The Dutch company ASM International NV, which specializes in the manufacture of equipment for making chips, intends to invest $324 million in a new headquarters in the US state of Arizona.

Chip Company ASM to Build US Base in Arizona

The mentioned firm continues its expansion in the specified region of the United States, where the semiconductor economy is currently actively developing. The Dutch manufacturer of chip-producing equipment plans to hire 500 people at a new plant in Scottsdale, Arizona. More than 800 ASM employees already work in this state. The company’s headquarters have been located in Phoenix since 1976.

The decision to invest in the development of activity in the United States is part of ASM’s package of measures to expand the scale of its international business. The company is making appropriate efforts despite the slowdown in the chip industry. Benjamin Loh, the chief executive officer of the firm, says that next year ASM will continue to recruit staff, but this will not go as quickly as in previous years. According to him, the big wave of hiring has been left behind.

Benjamin Loh will visit Arizona this week as part of a delegation from the Netherlands, which includes Prime Minister Mark Rutte and a cadre of chip executives.

ASM’s financial contribution to the development of manufacturing activities in Scottsdale is a step towards expanding the total investment of more than $60 billion in semiconductor projects in the specified US state. This money has been used for the mentioned purposes since 2020. Part of the investment was allocated to large facilities, including those built by such major players in the microcircuits industry as Intel and Taiwan Semiconductor Manufacturing Co.

Against the background of large-scale financial injections, Phoenix has become a kind of main point of development in the American sphere of chip production. The administration of the President of the United States Joe Biden plans to provide $100 subsidies billion for the development of making of semiconductors. The money allocated under the 2022 Chips and Science Act is aimed at stimulating domestic production of critical electronic components and reducing the degree of US dependence on Asian supply chains, which Washington identifies as a threat to national security.

Benjamin Loh stated that his company was eligible for benefits in the United States. This government assistance, he said, is aimed at small investments in the supply chain, as opposed to large-scale production activities. The US Department of Commerce opened a portal last week to accept relevant offers. Applications will be accepted until February 1, 2024.

Representatives of the sphere of chip production say that the desire of the United States to achieve a high level of development of its microcircuit manufacturing may face the problem of a shortage of technicians, engineers, and computer scientists. The Semiconductor Industry Association said it may be difficult for American companies engaged in chip-making activities to fill almost 60% of the 115,000 jobs they intend to create by the end of this decade.

Benjamin Loh says that ASM plans to gain research engineers and software developers. According to him, the chip manufacturing industry is a competitive market for specialists of the relevant profile. He also stated that due to the new recruitment, ASM will probably have to step up efforts compared to the usual approach to solving this task.

As we have reported earlier, Japan Provides Subsidies for Micron Plant.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.