International SEMATECH agrees to locate headquarters at UAlbany NanoCollege

$300 million proposal brings equal investment by international semiconductor consortium

Dr. Alain E. Kaloyeros, CNSE Vice President and Chief Administrative Officer, speaks to the media about the location of International SEMATECH's headquarters at the College of Nanoscale Science and Engineering.

International SEMATECH, the global consortium of leading nanoelectronics manufacturers, has agreed to a major expansion of its existing research and development program at the Center of Excellence in Nanoelectronics and Nanotechnology at the University at Albany. The expansion, the largest in the history of the consortium, will more firmly establish New York as a global leader in research and development of the next generation of computer chips.

The seven-year agreement will significantly expand the consortium's New York operations. As part of the partnership with UAlbany's College of Nanoscale Science and Engineering (CNSE), International SEMATECH has agreed to locate its headquarters in Albany, increase its workforce by 450 jobs over three years, and provide $25 million to fund research at colleges and universities at five centers around the state. To facilitate this expansion, legislative leaders agreed to introduce and pass shortly a bill providing $300 million in funding which will be made available over five years to help SEMATECH purchase advanced semiconductor process equipment. SEMATECH has made a financial commitment of $300 million in cash and in-kind contributions. The project will support new research at the Nanotech Center in Albany as well as serve as an additional resource supporting existing operations of SEMATECH members in the Hudson Valley and the Capital Region.

The State funding introduced by the Legislature will be used to both build state-of-the-art infrastructure and acquire advanced semiconductor tooling. In addition, $25 million of the funds will be devoted to research at colleges and universities at five centers around the state, including the Nanoscale Metrology and Imaging Center in Albany.

In 2002, International SEMATECH (Semiconductor Manufacturing Technology) brought global attention to the strength of New York State's academic research and development facilities for semiconductor technology when it chose Albany - over competing bids from sites in the U.S., Europe and the Pacific Rim - as the site for its first center outside of Austin, TX. Since that time, SEMATECH North has become a leader in the development and commercialization of leading-edge nanolithography technology - the photographic process of imprinting patterns on the hundreds of millions of transistors from a pre-designed mask onto a silicon wafer to build a computer chip.

In addition, SEMATECH North provided a critical mass of nanotechnology intellectual assets and state-of-the-art infrastructure at the University at Albany (UAlbany) that allowed for the creation of the College of Nanoscale Science and Engineering and its rapid rise to a global resource for research and education in nanoscience and nanoengineering.

CNSE's Albany NanoTech complex is the most advanced research facility of its kind at any university in the world: a $3.5 billion, 450,000-square-foot complex that attracts corporate partners from around the world and offers students a one-of-a-kind academic experience. CNSE houses the only fully-integrated, 300mm wafer, computer chip pilot prototyping and demonstration line within 65,000 square feet of Class 1 capable cleanrooms. Over 1,600 scientists, researchers, engineers, students, faculty and others work on site at CNSE's Albany NanoTech complex.

An expansion currently underway will increase the size of CNSE's Albany NanoTech complex to over 750,000 square feet, including over 80,000 square feet of Class 1 cleanroom space, to house over 2,000 scientists, researchers, engineers, students, and faculty by the end of 2008.

Governor Eliot Spitzer said, "This decision by SEMATECH is an affirmation of the UAlbany NanoCollege's status as the most advanced research complex of its kind at any university in the world. It also represents a strong statement of how committed New York is to positioning itself as a leader in the Innovation Economy by providing both the facilities for state-of-the-art research and education of the tech savvy workforce, and the assistance to translate nanoelectronics innovations into commercial products."

Speaker Silver said, "I am gratified that after two years of discussions with the Assembly, SEMATECH has agreed to consolidate their operations in New York State. The Assembly's vision and investments, which led to the creation of Albany NanoTech, along with the leadership of Dr. Alain Kaloyeros, has attracted international interest in Tech Valley. SEMATECH's decision is an acknowledgement of the vibrant, cutting-edge synergy that has evolved in the Capital Region. This dynamic public/private research and manufacturing partnership will propel Tech Valley into the pantheon of world-class centers of high-tech research and development, as we envisioned a decade ago. I commend the Assembly's Capital District delegation, Jack McEneny, Ron Canestrari, Paul Tonko, Robert Reilly and Timothy Gordon, for their leadership in the development of Tech Valley and its arrival as a global center for nanotechnology."

Senate Majority Leader Joseph L. Bruno said, "This announcement is tremendous news for the Capital Region because it means hundreds of new jobs and will enhance our area's reputation as a global leader in high technology economic development. It was the efforts of the Senate Republicans, working with then-Governor Pataki, that brought SEMATECH I to Albany. We have seen the positive results of that project, with AMD coming to Luther Forest, the Supercomputer at RPI and Tokyo Electron, and now today's announcement of SEMATECH II. The state's support for the SEMATECH expansion in Albany should be accompanied by other important capital investments. I support expanding SEMATECH as part of a broad economic development plan to create new jobs and strengthen our economy, particularly in Upstate New York."

International SEMATECH President and CEO Michael R. Polcari said, "International SEMATECH is delighted by and grateful for the vision and commitments of Governor Spitzer, Speaker Silver and the New York State Assembly, and Senate Majority Leader Bruno and is very pleased for the opportunity to become an anchor partner at the UAlbany NanoCollege's Albany NanoTech complex. As a world leader in setting direction, enabling flexible collaboration, and bridging strategic R&D to manufacturing for the nanoelectronics industry, we believe that the establishment of our International SEMATECH headquarters and operations in New York significantly strengthens our competitiveness and ability to provide our member companies with production-worthy technological innovations that meet the requirements of their technical and business roadmaps."

UAlbany Officer in Charge Susan Herbst said, "We are delighted with the announcement that International SEMATECH is locating its headquarters and operations at the University at Albany's College of Nanoscale Science and Engineering. We are extremely grateful to Governor Spitzer and our legislative leaders for their critical investments in our world class nanotechnology programs. These investments will continue to play a key role in advancing New York as an international leader in high technology economic development."

CNSE Vice President and Chief Administrative Officer Alain E. Kaloyeros said: "This announcement is a glowing testimony to the vision and leadership of Governor Spitzer, Speaker Silver, and Senator Bruno, particularly in terms of the creation of the nanoelectronics critical mass of R&D, education, and commercialization necessary to make New York a global high tech powerhouse. We thank International SEMATECH for its vote of confidence and investments, and look forward to working together to further advance our collective science and technology roadmap, while contributing to New York's economic competitiveness."

Pat Foye, chairman of Empire State Development/Downstate, said, "We are encouraged by SEMATECH's commitment and the message this expansion sends, highlighting that New York will continue to be a world leader in the design and commercialization of technology-based products."

Dan Gundersen, chairman of Empire State Development/Upstate, said. "We look forward to working with SEMATECH and its members to help them explore opportunities across the state that will make New York the center of activity in the Innovation Economy."

SEMATECH (Semiconductor Manufacturing Technology), now in its 21st year, is a consortium of international computer chip manufacturers that is the world leader in computer chip research and development, particularly in the fields of lithography, transistor processes and interconnect. SEMATECH's current roster of companies consists of Advanced Micro Devices (AMD), Freescale, Hewlett Packard (HP), International Business Machines (IBM). Infineon, Intel, Texas Instruments (TI) Micron, NEC, Panasonic, Samsung, Renesas, Qimonda, Spansion and TSMC.

CNSE's Albany NanoTech site is already the most advanced research complex of its kind at any university in the world, according to Electronic Business News. Small Times Magazine, a leading nanotech industry trade publication, recently named the University at Albany's college of Nanoscale Science and Engineering as the leading nanotechnology university in the world. Its operations include the College of Nanoscale Science and Engineering, the Center of Excellence in Nanoelectronics and Nanotechnology, the Universal Nanoelectronics Institute for Technology and Education.

Empire State Development (ESD) is New York's chief economic development agency, encompassing business, workforce and community development. ESD also oversees the marketing of "I LOVE NY," the State's iconic tourism brand. For more information, visit nylovesbiz.com/.

Contact: Steve Janack, Assistant Vice President for Communications and Marketing(phone) 518-956-7322 (cell) 518-312-5009(e-mail) sjanack@uamail.albany.edu, Online: Albany NanoTech College of Nanoscale Science and Engineering

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