Chief officials of The Orange County Partnership are now attending a major national semiconductor industry symposium in California to promote Orange County as a prime location for investment and to learn the latest on this dynamic global market sector that is expected to reach $1 trillion in value by 2030 that is already investing billions of dollars in New York State.
While companies like Micron, IBM, Global Foundries and Onsemi have announced multi-billion-dollar investment plans in Upstate New York, Orange County Partnership President and CEO Maureen Halahan said the economic development organization’s participation at the SEMI Industry Strategy Symposium at the Ritz Carlton in Half Moon Bay, CA is to market Orange County as a key location for semiconductor manufacturing investment.
“We’re positioning Orange County as ‘the bridge’ between New York City and Albany, a market that offers shovel-ready sites with infrastructure, proximate to major talent and semiconductor assets between New York City and Albany,” she said. Halahan and Conor Eckert, Senior Development Officer and Vice President of Business Attraction for the Orange County Partnership, are attending the three-day conference (Jan. 7-10). The Orange County Partnership is the only downstate New York economic development organization attending the semiconductor symposium that is attracting key sector leaders and stakeholders from across the United States and around the globe.
“The semiconductor sector is expected to continue to grow in New York State given the talent and resources, coupled with New York State’s Green Chips program and the federal CHIPS and Science Act,” Eckert said. “We need to act now to position Orange County to play a key role in the semiconductor supply chain.”
He explained that Orange County would be marketing to growing businesses engaged in the semiconductor manufacturing supply chain that would include: packaging, assembly, testing, design centers, and equipment manufacturing operations that service the major fab plants in upstate NY and across the country.
Global semiconductor capacity is expected to increase 6.4 percent in 2024 to top the 30 million wafers per month (wpm) mark for the first time after rising 5.5 percent to 29.6 wpm in 2023, SEMI announced in its latest quarterly World Fab Forecast report released last week. President Biden, through the passage of lucrative incentives that are part of the CHIPS and Science Act, is looking to increase the United States’ market share in the global semiconductor marketplace.
The 2024 growth will be driven by capacity increases in leading-edge logic and foundry, applications including generative AI and high-performance computing (HPC), and the recovery in end-demand for chips. “Resurgent market demand and increased government incentives worldwide are powering an upsurge in fab investments in key chipmaking regions and the projected 6.4% rise in global capacity for 2024,” said Ajit Manocha, SEMI President and CEO. “The heightened global attention on the strategic importance of semiconductor manufacturing to national and economic security is a key catalyst of these trends.”
The Semiconductor Industry Association recently reported that global semiconductor industry sales totaled $46.6 billion during the month of October 2023, an increase of 3.9% compared to the September 2023 total of $44.9 billion but 0.7% less than the October 2022 total of $46.9 billion. Additionally, a new industry forecast projects the industry’s worldwide sales will be $520 billion in 2023, down from the 2022 sales total of $574.1 billion. In 2024, global sales are projected to reach $588.4 billion.
Key industry and government leaders at the SEMI Industry Strategy Symposium will provide insights on economic trends, market drivers, geopolitics, technology and what key market forces and headwinds will impact the sector in 2024 and the years ahead.
“To understand this evolving and dynamic sector, you must understand what drives investment and whether your location is well-suited to serve these growing businesses,” Halahan said. “While catchy marketing slogans and glossy brochures are useful, there are times when you need to meet these industry leaders face-to-face to make the case why Orange County makes the most sense to invest their capital. We have the shovel-ready sites, we have the talent and we have the best location to best serve their growth and supply chain needs.”