In this video news report breaking across the Nation this AM, the answer to the question is NO. Hillsboro will not be landing the NSTC Extreme Ultraviolet (EUV) Center. That facility has been mentioned time and again as the reason that Governor Kotek plans to expand the Hillsboro Urban Growth Boundary by 373 acres before the end of the year. The news broke nationwide that New York would be landing the facility overnight, which will include thousands of jobs and Billions in Federal CHIPS ACT funding. This is a crushing blow to Oregon and those cheering on industrial expansion in Silicon Forest.
What went wrong? The bottom line is that New York is a more robust tech environment and already has an NSTC Center, which we have covered at the Herald at length- the first news outlet to do so. See below:
Could Hillsboro Land A National Semiconductor Technology Center?
Beyond that, I think we are seeing that Senator Chuck Schumer has much more horsepower than Senator Ron Wyden. This was a huge deal as these research-based jobs would have created thousands of jobs in Hillsboro and around the entire State. And the jobs are super high paying. Not only that, but this sort of clean facility is not an environmental threat like the Intel Ronler Acres Chip fab and those like it. This one hurts from that standpoint.
The land expansion and the potential for another major facility exist. The CHIPS ACT includes massive funding for three specific centers. The facilities include:
- an NSTC Prototyping and National Advanced Packaging Manufacturing Program (NAPMP) Advanced Packaging Piloting Facility,
- an NSTC Administrative and Design Facility, and
- an NSTC Extreme Ultraviolet (EUV) Center. (now going to New York)
Could Hillsboro still land one of the remaining two? I have heard rumblings that choice #1 might be in play and could land here. Could it?
We turned to our Tech Analyst and Writer, Gem Gordon, for that answer.
Gem, what US Cities are most likely to land the National Advanced Packaging Manufacturing Facility?
Well, the U.S. Department of Commerce has not yet announced the location of the National Advanced Packaging Manufacturing Program (NAPMP) Advanced Packaging Piloting Facility. However, several cities are considered strong contenders due to their existing semiconductor infrastructure, research capabilities, and workforce:
- Arizona: Phoenix and Tucson have a strong presence in semiconductor manufacturing, with companies like Intel and TSMC having major facilities there.
- California: Silicon Valley is a hub for semiconductor research and development, with major universities and companies like Apple and Google.
- New York: Albany has a growing semiconductor industry, with companies like GlobalFoundries and Wolfspeed investing in the region.
- Oregon: Hillsboro is home to Intel’s largest concentration of facilities and employees.
- Texas: Austin has a strong semiconductor ecosystem, with companies like Samsung and NXP having major facilities there.
Ultimately, the decision on where to locate the NAPMP Advanced Packaging Piloting Facility will be based on a number of factors, including:
- Technical capabilities: The facility will need to be located in a region with a strong semiconductor workforce and access to advanced research facilities.
- Economic competitiveness: The facility should be located in a region with a favorable business environment and a strong commitment to supporting the semiconductor industry.
- National security: The facility should be located in a secure location that can protect sensitive technology.
Given these factors, the NAPMP Advanced Packaging Piloting Facility will likely be located in one of the cities listed above. However, the U.S. Department of Commerce will make the final decision. Hillsboro is most definitely in the Mix!
When we look at Hillsboro, Oregon, the tech landscape, and the Semiconductor Cluster that exists there, what companies and factors would help HIllsboro’s case for being selected for this facility?
Hillsboro, Oregon, has some key advantages that could help it attract the NAPMP facility, and several companies play a crucial role in that:
1. Intel’s Massive Presence:
- Intel: This is the BIG one. Hillsboro is home to Intel’s largest concentration of facilities and employees worldwide. They have multiple campuses dedicated to research, development, and manufacturing of advanced semiconductor technologies. This existing infrastructure, skilled workforce, and Intel’s commitment to advanced packaging make Hillsboro a very strong contender.
- Intel’s Supply Chain: A robust network of suppliers and supporting businesses exists around Intel in Hillsboro. This means the necessary infrastructure for materials, equipment, and services is readily available.
2. Other Key Players:
- TriQuint Semiconductor (now part of Qorvo): Focuses on radio frequency (RF) solutions, which are essential for wireless communication and advanced packaging in many applications.
3. Research and Development:
- Pacific University: While not directly a company, their College of Health Professions is involved in research with potential applications in microelectronics and biosensors, which could tie into advanced packaging for medical devices.
4: Genentech: While Genentech might not be a semiconductor company, its expertise in advanced manufacturing, potential for collaboration in biomedical applications, and existing workforce make it a valuable asset that could contribute to Hillsboro’s attractiveness as the location for the NAPMP facility.
Thank you, Gem. We appreciate your response and the time taken to give us this in-depth insight.
Ron Wyden is very powerful and has paid his dues in DC for decades. I believe Senator Wyden is going to deliver for Oregon. This second option fits well in Hillsboro and could be what we hear about breaking news any day. We will all find out. And let’s not forget that Mayor Callaway, City Manager Hammond, and the economic development team are fresh back from a mission to Japan. That trip is still mostly under wraps, and they may have been there recruiting some additional employers.
As we went to press so did Mike Rogaway of the Oregonian. Mike’s work is excellent on this subject, and he received direct comment from the Governor’s team- See his story here- https://www.oregonlive.com/silicon-forest/2024/10/biden-administration-picks-ny-not-oregon-for-first-chips-act-research-hub.html
The OREGON CHIPS ACT sunsets on 12-31-2024, and the governor’s ability to expand our UGB is ending soon. Between the election next week, the Holidays, and this local storm of activity, the end of 2024 will be both tumultuous and exciting. The Herald will continue to bring you the news as and before it breaks. We are hyper-local and out in front of most other media in the Region! Could you support our work?
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Very happy for the Capital Region here. New York has done an excellent job of balancing incentives with its regional strengths to attract more of the tech sector’s interest.
There’s a portion of the public that looks at how the Amazon HQ2 discussion went down and thinks that New York State is “closed for business.” No, it just doesn’t have to give as much away or compromise as much of itself to get a large return.
What tech has come to realize is that the Capital Region, Central New York and Western New York have loads of available industrial land and ready-built infrastructure, as well as one of the most climate-stable water supplies in the country. Combine that with the density of both its population and research universities, as well as its proximity to multiple major cities and their points of distribution, and you have a force to be reckoned with.
When you have a project with this much federal funding attached, all of the items above are among the factors they’re going to weigh. When companies spend their own money in Oregon and Arizona, they’re less of an issue. But both Oregon and Arizona’s dearth of research universities and clustered, sizable population centers is starting to harm their case against states like New York, Ohio, and Texas.
Yes, Schumer has plenty of clout, but what he, Kirsten Gillibrand, Sherrod Brown, and Rob Portman knew—and what JD Vance fails to glean—is that bringing new tech work to former industrial communities does a lot more for local business and morale than bringing more tech to already tech-saturated communities who are just unhappy that they can’t grow as quickly as they’d like.
One of these other projects may yet land on the 373 acres, but given that we’re already discussing why this is a less-great fit than the EUV facility, we might be at the face-saving portion of this whole SB4 exercise.
Way to play both sides, Dirk. We’ve been arguing for this to happen and you rail against it for months, stirring the pot and then complain about how much it hurts after the fact?
Just horrible work.
Hi Don;
Going back 3 years, I predicted and suggested that this land come into the UGB as the main addition if it had to happen. Following that I was first to report on the plan for the EUV Center – way ahead of other outlets.
Each time I made it clear that I think this NSTC Center, or anyone like it made good sense. My only condcerns ever are that those manipulating the process to get politicians to bring the reat of the 1,700 acres in.
You must not be a regular reader- This was written 3 months before anyone else even mentioned and NSTC. And I am the only reporter that spoke to NY Creates and reasearched what all the benefits were. I don’t mind criticism, but next time, bring your A game!
https://hillsboroherald.com/could-hillsboro-land-a-national-semiconductor-technology-center/
From April 2024:
“In closing, let me say that this makes sense. We have some of the best high-level R&D research engineers, chip designers, and computer scientists in the world here in Hillsboro. Intel may have lost its edge in innovation and creation, but the company is too big to fail. Many others are working here in the semiconductor and chip sector, none the least of which is superstar former Intel President Renee James and her amazing team at Ampere Computing. There is a woman that Intel could have had successfully running the company, and they let her slip away. Check out that resume! Wow. The point is that we have many of the key elements needed to make the final cut.
I see this move by the Federal Government as essential for our country’s future and security. We need great computer chips, and we need to build them in the US. We also need jobs. We need to not rely on others outside our borders. This whole thing is just a replay of what we went through with Boeing over the last 40 years.
Will Hillsboro win this lottery, and will they carefully handle our precious lands, our citizen’s best interests, and the environment of our community and the surrounding lands? This might work with better care of our resources and some long-term commitments in writing to value and preserve our remaining farmlands properly. Some of the reading I did in researching this article indicates that the decision is being made this Fall, and by the chill in the air tonight, we are reminded that it is coming sooner than later.
Best of luck to all sides as this saga plays out. Hillsboro and its people are once again in the midst of a battle to keep Oregon vibrant and viable as a State.”