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America’s chip shortage could be numbered

The United States’ intervention in the chip shortage could go an important step. According to Reuters, a group of senators is about to present a proposal to boost the national research and production of chips.

The bill of Senators Mark Kelly, John Cornyn, Mark Warner and Tom cotton contemplates allocating 52,000 million dollars to guarantee the supply of chips to different American industries.

According to the draft, it is about 39,000 million for R&D incentives. What’s more, 10,500 million to implement programs that promote the National Center for Semiconductor Technology and the National Program for the Manufacture of Advanced Packaging. The rest of the budget would go to other programs.

“There is an urgent need for our economic and national security to provide funds to rapidly implement these critical programs,” reads the summary of the project seen by Reuters.

The lawmakers’ proposal is expected to be included in the bill that will be voted on next week in the Senate. This, in general terms, proposes to allocate 110,000 million dollars in “basic research of advanced technology.”

On the other hand, $ 49.5 billion would be for emergency supplemental appropriations to finance the chip provisions that were included in the National Defense Authorization Act.

The United States has lost prominence in global chip production

Lawmakers in favor of funding indicate that The United States had a 37% share of world chip production in 1990. However, today it is only 12%.

The severity of the Asian chip shortage is such that major US tech companies have recently teamed up to form a coalition to tackle the problem quickly.

Joe Biden, for his part, asked for the support of Congress. The president expects that $ 50 billion will be earmarked for the bill known as “Chips of America.”

The chip shortage is affecting a large number of US companies. Firms such as Apple, Qualcomm, and Microsoft have struggled to maintain normal production rates.

This situation has also hit the auto industry hard. According to The Wall Street Journal, 1.2 million fewer vehicles have been manufactured in the United States amid high demand.

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