The rubber-band effect of COVID-19’s tech craze has hit hard over the last year. Extensive consumer purchasing of laptops and other home-based electronics has struck the industry in such a way that has left it short of an essential component for all modern electronics: microchips.

Florida To Support Chip And Semiconductor Manufacturing With Nearly $10M Award, Says DeSantis

The rubber-band effect of COVID-19’s tech craze has hit hard over the last year. Extensive consumer purchasing of laptops and other home-based electronics has struck the industry in such a way that has left it short of an essential component for all modern electronics: microchips.

Sony and Microsoft were both dealing with this shortage as they attempted to supply the demand for their new video game consoles this past November. AMD has been struggling for some time now to deliver both of the console’s custom CPU and GPU microchips.

Home electronics aren’t the only thing affected, however, as it seems that the automobile industry is taking a more significant hit. Since the beginning of 2021, General Motors has cut down numbers in the production of their vehicles and will now extend those halts until the middle of March. Ford, Honda, and Chrysler have all met similar fates, having to slow production on their vehicles, as well.

Tesla is the latest company that has been forced to shut down due to the shortage and will be shutting down their Model 3 production line in Fremont, California for two weeks. Each Tesla vehicle is made up of over ten thousand parts, and while some are made in-house, there are plenty of parts made by outside suppliers. If any of those externally supplied parts are missing, then the entire vehicle production line is halted.

Today, Governor Ron DeSantis announced nearly $10 million has been awarded through the Florida Job Growth Grant Fund to Osceola County and Valencia College to support semiconductor and other advanced technology manufacturing in Osceola County.

Included in this award is $6 million to assist with developing infrastructure connecting the county’s emerging NeoCity technology district with the county’s workforce, and $3.7 million to Valencia College to develop a new program that will train students in utilizing robotics technology for semiconductor manufacturing.

These two awards will combine to create manufacturing jobs while developing a talent pipeline that supports industry growth.

“Expanding domestic manufacturing capability is important for Florida and our nation,” said Governor Ron DeSantis. “The strategic investments we are making today will help bring microchip and semiconductor manufacturing back to our state at a time when the supply chains are more fragile than ever. Certainly, we cannot allow this important industry to become captive by the Chinese Communist Party.”

Osceola County was previously awarded $5.8 million through the Florida Job Growth Grant Fund for the construction of primary northern gateways and a main thoroughfare for NeoCity. NeoCity is an effort in Osceola County to develop a location for semiconductor research, development, and manufacturing through partnerships within the emerging high-tech industry.

This award of $6 million will add to the initial investment with planned improvements for the southern gateway, called NeoVation Way. The expansion will include the construction of an approximately 3,160 linear-foot, two-lane roadway with a gateway design feature, on-street parking, a multi-use path, sidewalks, landscaping, and lighting.

Valencia College will use $3.7 million in funding to address the workforce development needs related to incorporating robotics technology into the manufacturing and distribution industry sectors through the Accelerated Skills Training Program in Robotics Technology.

This workforce program also includes a specialized semiconductor track designed to prepare future robotics technicians for the semiconductor industry and an Advanced Robotics Learning Factory. This program was developed as a direct result of partnerships between Central Florida businesses and Valencia College.

“Strategic investments in emerging industry sectors, like what is happening at NeoCity, and critical industries, such as chip and semiconductor manufacturing, will continue to elevate Florida’s future economic growth,” said Secretary Dane Eagle of the Florida Department of Economic Opportunity (DEO). “With Governor DeSantis’ support, these projects will continue to provide more Floridians with access to dynamic resources while increasing the current progress of growth for Florida’s industries.”

The Florida Job Growth Grant Fund is an economic development program designed to promote public infrastructure and workforce training across the state.

Proposals are reviewed by DEO and Enterprise Florida, Inc., (EFI) and are chosen by the Governor to meet the demands for workforce training or infrastructure needs in communities around the state.

Already in 2021-2022, approximately $62 million of $74 million appropriated funds have been allocated for projects that focus on rapidly developing a highly-skilled workforce and on infrastructure initiatives that attract businesses, create jobs, and promote economic growth. DEO and EFI are accepting proposals until all funding has been awarded.

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