GlobalFoundries to Invest $16B in US Chip Production Expansion with AI Focus

GlobalFoundries to Invest $16B in US Chip Production Expansion with AI Focus

GlobalFoundries, one of the world's leading semiconductor contract manufacturers, announced on June 5, 2025, ambitious plans to invest $16 billion in expanding and upgrading its manufacturing facilities in the United States. Notably, a significant portion of these funds, specifically $3 billion, will be dedicated to research and development (R&D) in the field of creating and producing specialized chips for artificial intelligence systems. This strategic decision comes amidst ongoing global growth in demand for high-performance semiconductor components, which are critically needed to power energy-intensive AI applications – from cloud data centers to edge devices and consumer electronics. GlobalFoundries' investments are expected to impact its key existing facilities, for example, in New York State (Fab 8), and may also include the construction of new production lines focused on more advanced technological processes required for AI accelerators. The allocation of $3 billion for R&D in AI chips underscores the company's ambition to strengthen its position in this rapidly growing and strategically important segment. Research is expected to focus on developing new semiconductor architectures, improving energy efficiency for AI computations, and implementing advanced chip packaging techniques. This move by GlobalFoundries also aligns perfectly with broader US government efforts to bolster domestic semiconductor manufacturing, stimulate innovation, and reduce reliance on Asian suppliers, including through federal initiatives like the CHIPS Act. The implementation of these ambitious plans is anticipated not only to significantly increase the company's US manufacturing capacity but also to create thousands of new high-tech jobs.

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