Governor Pataki Announces Historic $2.5 Billion in Investments by IBM

Governor George E. Pataki today, in his 11th Annual State of the State Message, announced more than $2.5 billion in historic investments in Upstate New York by an IBM-led consortium of high-tech companies from across the globe - marking another step in the Governor's goal of making New York a worldwide leader in university-based research, business development, and job creation.

In one of the most significant commitments in the State's history, IBM -- along with six global giants that include Sony, Toshiba, Samsung, Infineon, AMD, and Charter -- will spend $1.9 billion on nanoelectronics manufacturing and development in East Fishkill, New York.

"New York State has just scored two major victories to seal its role as an international powerhouse in high-technology research and economic development," Governor Pataki said.

This historic investment includes Sony's investment into the new IBM leading edge 300mm wafer chip making plant, while IBM and its six international partners will work jointly on some of the most advanced semiconductor development programs in the world.

Governor Pataki agreed to commit $150 million in State support for the two projects, in exchange for the commitment by this unparalleled private-public partnership to create 750 high technology jobs in the Hudson Valley, from East Fishkill to Albany.

State Senate Majority Leader Joseph L. Bruno said, "The commitment made by global giants like IBM and Sony to invest in our state is another important step in our efforts to establish New York State as a national and global competitor for high tech jobs and biotechnology research and development.

In addition, IBM and a group of the largest equipment suppliers in nanoelectronics that includes TEL and Applied Materials intend to invest, pending completion of contract negotiations, an unprecedented $450 million to expand the research and development capabilities of the Albany Center of Excellence in Nanoelectronics, a shining example of the value of developing a high tech economy.

Scientists and researchers from IBM, TEL, Applied Materials, the Albany Center of Excellence will jointly collaborate for the first time anywhere on the demonstration and deployment of computer chip technologies at the nanoscale--at line-widths more than 3,100 times thinner than a human hair.

New York State has made significant investments to support research, development and commercialization of nanoelectronics, including those at the Albany Center of Excellence in Nanoelectronics, the IBM East Fishkill chip-fab, the International SEMATECH North consortium and the Tokyo Electron Limited research consortium.