GlobalFoundries Announces Increased $16 Billion Investment – Supporting U.S. Chip Facility Upgrades

Earlier today, GlobalFoundries announced a boosted $16 billion investment. This cash injection will further drive the expansion of current North American chip production facilities. Specifically, an extra $3 billion will be spent on supporting advanced research and development projects. The multinational corporation’s leadership outlined key R&D goals: packaging innovation, silicon photonics, and next-generation gallium nitride technologies. An additional $1 billion “capital spending boost” will bolster upgrades of the firm’s New York and Vermont foundry sites. AMD, Apple, General Motors, NXP Semiconductors, Qualcomm and SpaceX were listed as notable partners—collectively, they are engaged in elevating the domestic semiconductor industry.

Top brass did not detail a firm upgrade timeline, but Tim Breen—the GlobalFoundries CEO—provided a short explanation (via Reuters): “the reason we’re not sort of being super clear about exactly what’s spent by when is because obviously some of this is demand-driven. We see a very strong demand, but it takes time to convert (demand) into specific ramps and project timing. And what you don’t want to do is shoot too far ahead or fall too far behind.” As part of the original $12 billion outlay, GlobalFoundries revealed intentions for its Malta, New York site. Around mid-January (2025), the company unveiled blueprints for an advanced packaging and photonics center—destined for construction at their Saratoga County-based chip manufacturing hub. GlobalFoundries is best known for its decidedly mature product portfolio—around late March/early April, the firm’s executive team denied that they were considering a merger with UMC. This speculative deal could lead to a greater international footprint of foundries; mostly tasked with pumping out 28 nm (and larger) wafers.