Microchip, a major chipmaker, has announced an $800 million investment to expand its factory in Gresham, Oregon, with the goal of tripling production capacity. This move aims to address the growing demand for semiconductors across industries and significantly increase Microchip's overall production capabilities in the United States.

Microchip purchased the Gresham wafer fabrication plant for $184 million in 2002, and about half of the property was undeveloped until now. There were rumors last year that Microchip was considering building a second wafer fabrication plant in Gresham.

The Gresham facility currently employs over 900 people and provides jobs ranging from production specialists to technical roles in equipment and processes, facilities, and management. Steve Drehobl, Senior Vice President of Microchip's 8-bit and 16-bit Products Division, said that the Gresham facility, established over two decades ago, remains our largest and most advanced manufacturing facility, a key element of Microchip's long-term business strategy for microcontrollers and analog products. The $800 million expansion plan will enable Microchip to better serve global customers.

Microchip President and CEO Ganesh Moorthy acknowledged the Gresham team's input and effort in this expansion, thanking Oregon and its elected officials for supporting the approved investment incentives. Our steady growth underscores the critical nature of the semiconductor industry and the importance of the CHIPS and Science Act in providing subsidies to US companies to maintain fair global competition.

Through collaboration with the Oregon Economic Development Agency, the City of Gresham, and Multnomah County, Microchip has been awarded approximately $42.4 million in state and local expansion incentives.

Senator Ron Wyden stated that this good news for Gresham opens a new chapter for Oregon's semiconductor industry, and the new federal CHIPS and Science Act creates benefits for the locality in the form of high-paying jobs and economic investment. "I'm honored to have included this semiconductor legislation in last year's law and will continue to push in every way to ensure that Oregonians and the semiconductor companies that employ them benefit from this landmark legislation."

Oregon Governor Tina Kote k said that Oregon is an excellent center for US semiconductor manufacturing, and Microchip's attention to economic development has led to increased investment in Gresham. This is a collective victory for the city, state, and country. It will bring high-paying jobs to the community, not only maintaining Oregon's national leadership position in chip production but also strengthening our country's manufacturing, supply chain, and overall economy.

So far, Microchip has added 300 new employees to its Gresham facility and plans to hire up to 300 more over the next few years. In addition, substantial progress has been made in expanding and upgrading the Gresham campus, which covers 140 acres and 830,000 square feet, to produce more microcontrollers, analog, and security products. As part of the investment, Microchip has added two cleanrooms and over 160 new manufacturing equipment to its 8-inch wafer fabrication plant.

Representative Earl Blumenauer stated that Microchip continues to focus on manufacturing traditional chips - small, ubiquitous microcontrollers and analog products used in almost all types of electronic devices such as cars and electric bicycles, household appliances, and industrial motors. The growth of these products is critical to increasing local jobs, raising incomes, and strengthening American supply chains in Oregon.

Gresham Mayor Travis Stovall noted that this expansion is a tremendous achievement for Gresham and will provide significant employment opportunities, contributing to our city's prosperous economy. We are grateful for the opportunity to work with Microchip Technology and appreciate the full support of Oregon legislators in driving this important work forward.