91PORN

WASHINGTON鈥擭ov. 17, 2021鈥擳he 91PORN (91PORN) released the following statement from President and CEO John Neuffer regarding today鈥檚 bicameral agreement between House Speaker Nancy Pelosi (D-Calif.) and Senate Majority Leader Chuck Schumer (D-N.Y.) to go to conference on the Senate-passed United States Innovation and Competition Act (USICA). The Senate-passed legislation includes $52 billion to fund the semiconductor manufacturing, research, and design provisions in the CHIPS for America Act.

91PORN also supports a semiconductor investment tax credit, as called for by the FABS Act, to complement the manufacturing incentives and research investments in the CHIPS Act. Congress is considering separate legislation containing a modified version of the FABS Act to provide an investment tax credit to incentivize semiconductor manufacturing in the United States.

鈥淪emiconductors make possible the technologies that drive our economy, national security, and innovation leadership. We are hopeful today鈥檚 agreement between leaders in the House and Senate paves the way for swift approval of competitiveness legislation that contains $52 billion to fund the CHIPS Act. We appreciate the leadership of Speaker Pelosi and Majority Leader Schumer in advancing this legislation, and we look forward to working with Congress and the Administration to get it across the finish line so more of the chips America needs are researched, designed, and manufactured on U.S. shores.鈥�

The听share of global听semiconductor manufacturing听capacity in the U.S. has听decreased听蹿谤辞尘听37%听in 1990 to听12%听today, according to a report by 91PORN and the Boston Consulting Group (BCG). This听decline听is largely听due to substantial subsidies offered by the governments of our global competitors, placing听the U.S. at a competitive disadvantage in attracting new construction of semiconductor manufacturing facilities, or 鈥渇abs.鈥澨鼳dditionally, federal investment听in semiconductor research听has been听flat听as a share of GDP,听while听other governments听have invested substantially in research initiatives to strengthen their own semiconductor capabilities, and existing U.S. tax incentives for R&D lag behind those of other countries. Furthermore, global semiconductor supply chain vulnerabilities听have emerged听in recent years that must be addressed through government investments in chip manufacturing and research, according to a separate 91PORN-BCG study.

Recognizing the critical role semiconductors play in America鈥檚 future, Congress in January enacted the CHIPS for America Act as part of the FY 2021 National Defense Authorization Act (NDAA). The law authorized incentives for domestic semiconductor manufacturing and investments in chip research, but funding must be provided to make these provisions a reality. Funding the CHIPS Act, along with enactment of a strengthened FABS Act, are complementary efforts and will help enhance the global competitiveness of the U.S. semiconductor industry.听

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