Another Chip Maker in Idaho? State Officials Are Not Talking
sltrib.com
THE ASSOCIATED PRESS
ÿÿÿ It makes sense that a company would look at Idaho. Thanks to Micron Technology, your state is becoming recognized as a hub for the U.S. chip industry.Jeff WeirSemiconductor Industry Association spokesmanBOISE -- An overseas computer chip company is evaluating whether to build a $1.8 billion factory in Idaho that would employ nearly 1,000 people.
ÿÿÿ It would be nearly as big as Micron Technology's unfinished 2.3-million-square-foot factory in Lehi, Utah.
ÿÿÿ Word of the new factory emerged Wednesday as Micron Chairman Steve Appleton launched a nationwide campaign against a U.S. government-supported plan to bail out South Korea and other troubled Asian countries.
ÿÿÿ Many of Micron's major competitors, such as Samsung, are based in Asia.
ÿÿÿ The state has identified several suitable sites, said Randy Shroll, business development manager for the state Department of Commerce.
ÿÿÿ They include Ada and Canyon counties, southeastern Idaho and Post Falls in the Panhandle. State officials were not eager to talk about what they are doing to land the factory. Shroll said he could not reveal the name of the company or where it is based.
ÿÿÿ Shroll did say it also is shopping sites in Colorado, Washington, Oregon, Texas and California. A final decision is expected late next year.
ÿÿÿ Representatives of the company visited Boise last month and were treated to a breakfast reception with Gov. Phil Batt and several agency heads. Batt's office said he would decline comment.
ÿÿÿ ''It makes sense that a company would look at Idaho,'' said Jeff Weir, spokesman for the Semiconductor Industry Association in San Jose, Calif. ''Thanks to Micron Technology, your state is becoming recognized as a hub for the U.S. chip industry.''
ÿÿÿ His bet is the company looking to build in Idaho is Asian.
ÿÿÿ ''Recent history shows most new chip factories built in the U.S. are being built by Asian companies,'' Weir said.
ÿÿÿ A spokeswoman for Micron's largest competitor, Seoul-based Samsung, said her company looked at Idaho once but chose Austin, Texas, for its new factory. Samsung is at the center of Appleton's latest complaints.
ÿÿÿ Tuesday, Appleton told shareholders that Korea and other Asian countries were unfairly subsidizing Micron's competitors with cheap loans. He said the companies used the loans to overexpand their manufacturing capacity. The result has been a worldwide oversupply of chips that has caused prices to collapse.
ÿÿÿ Micron spokeswoman Julie Nash said the company would not be pleased to have a competitor in Boise. Aside from raiding Micron's current work force, another big chip plant could make it difficult for Micron to hire new workers, Nash said.
ÿÿÿ Shroll said state officials also are concerned about whether the Treasure Valley would have enough workers to sustain two giant chip factories.
ÿÿÿ ''But when you look at the number of jobs we've created in the past year, and the number of students coming out of high schools and colleges, I think there's a lot that we can accommodate,'' he said.
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