GlobalFoundries Invests $575 Million in New York for Photonics Center
New York, Saturday, 18 January 2025.
GlobalFoundries’ new packaging and photonics center in New York will enhance manufacturing, create 102 jobs, and strengthen U.S. semiconductor security and geodiversity.
Strategic Investment Details
GlobalFoundries (NYSE: GFS) announced on January 16, 2025, plans to establish a groundbreaking $575 million advanced packaging and photonics center at its Fab 8 campus in Malta, New York [1][2]. The project receives substantial government support, including a $75 million grant from the U.S. Commerce Department through the CHIPS and Science Act, and $20 million from New York state [2]. Additionally, the company commits to investing $186 million in research and development over the next decade [1][2].
Employment and Economic Impact
The initiative is set to create 102 new full-time positions over the next five years, adding to GlobalFoundries’ existing workforce of approximately 2,500 employees at its Malta facility [1][2][4]. The company has demonstrated significant commitment to the region, having invested more than $16 billion in the facility since its opening in 2011 [1]. New York Governor Kathy Hochul emphasized the project’s importance, stating that ‘GlobalFoundries is a proven economic generator that shows just exactly how this industry can transform a region’ [2].
Strategic Significance
This first-of-its-kind center addresses critical industry needs by enabling semiconductors to be manufactured, processed, packaged, and tested entirely within the United States [1][3]. CEO Thomas Caulfield highlighted that this development responds directly to customer demands for ‘greater geodiversity in their supply chains’ [2][3]. The facility will be particularly significant for aerospace and defense applications, operating under GlobalFoundries’ Trusted Foundry accreditation to ensure sensitive national security-related chips never leave U.S. soil during production [1].
Technical Capabilities and Market Focus
The center will specialize in advanced packaging and testing for GlobalFoundries’ silicon photonics platform, which integrates optical and electrical components on single chips [1]. This technology is crucial for meeting power, bandwidth, and density requirements in datacenters, edge devices, and critical infrastructure applications [1]. The facility will also provide new production capabilities for advanced packaging, wafer-to-wafer bonding, and testing of 3D and heterogeneously integrated chips using GF’s 12LP+ and 22FDX platforms [1].