IBM and Intel promised to invest $4.4 billion in New York State to promote semiconductor innovation.
IBM is investing the lion's share with $3.6 billion to develop chips in 22 nm and 14 nm. There has been no information how Intel will invest its funds other than transitioning from 300 mm to 450 mm wafer technology, but the combined project is estimated to create a total of 2500 high-tech jobs and another 4900 (including 1900 additional construction jobs) that depend on those newly created positions.
New York governor Andrew Cuomo also said that further investment will come from TSMC, Samsung and Globalfoundries. In return, the government agreed to sink $400 million into the State University of New York College of Nanoscale Science and Engineering. “This unprecedented investment in New York’s economy will create thousands of jobs and make the state the epicenter for the next generation of computer chip technology,” Cuomo said in a statement.
New York desperately needed this investment as it had to deal with a net loss of 1.2 million tax payers over the past 10 years. According to a government report, those who moved to New York had $3.3 billion less income in 2009 than those who left the state. The total net income loss for the state between 2000 and 2009 is estimated at $37 billion.