GlobalFoundries is getting two new fabs in Malta, New York, and Japan is putting up the money. The company said Wednesday it has been selected as the technology provider and operator for the pair of plants under a U.S.–Japan initiative that provides up to $21 billion in funding. Japan supplies the capital; GF contributes the process technology and runs the sites.
About $10 billion is earmarked for a new 300mm fab expected online in 2029. Another roughly $10 billion would fund a second fab. Each is projected to add about 900,000 300mm wafers of annual U.S. capacity when fully ramped. GF expects to break ground on the first one later this year at its already-permitted Malta campus. The project is expected to create about 27,000 construction and ecosystem jobs and more than 1,000 manufacturing jobs in New York's Capital Region.
The money sits inside Japan's broader $550 billion U.S. investment arrangement with the Trump administration, Reuters reports. In a separate deal, Commerce gets about 4% equity in GF, bringing the U.S. government's total stake to roughly 7%, CEO Tim Breen told Reuters. GF is also amending its existing CHIPS Act award to reallocate $955 million toward silicon photonics, silicon-germanium, and advanced packaging in Malta and Burlington, Vermont. Initial customers named for the new capacity include Renesas and Apple. Shares were up more than 4% in early trading.
GF is hosting an investor webinar today at 1 p.m. ET (replay at investors.gf.com).
— via Reuters