Don't Spread Chips Funding Too Thinly Across States: ITIF Panel

It’s good for the federal government to fund chips in states that have already spent their own money, rather than trying to spread money across every area that hasn’t invested in semiconductors, said panelists on an Information Technology and Innovation Foundation (ITIF) webinar Wednesday. State officials discussed their roles in helping the Chips Act succeed. “Piggybacking on the work we’re doing is what is going to see us succeed,” said Kevin Younis, New York Empire State Development chief operating officer. “There has to be strategic cluster-based investments [or] we’re not going to succeed. With the peanut butter spread over the whole sandwich, you won’t taste it.” States can help the Chips Act succeed by addressing the workforce gap and cutting red tape, said David Isaacs, Semiconductor Industry Association vice president-government affairs. "There's a huge gap throughout the economy in skilled workers," with the semiconductor industry “just a small slice of the overall pie,” said Isaacs. An SIA report said about 58% of needed jobs may not be filled, including engineers, computer scientists and technicians, he said: “We need to see federal-state partnerships with industry and education to train these workers.” Also, states can play an important role speeding projects by streamlining permitting and other regulatory approval processes, he said. Arizona Commerce Authority CEO Sandra Watson said her state is “constantly having conversations about the regulatory environment and how to make that easier on industry.”