Many people dream of becoming entrepreneurs, and often the biggest...
Letting technology do the heavy lifting for certain monotonous tasks...
Accurate accounting is the bedrock of any successful...
Distinguishing between independent contractors (1099) and employees (W-2)...
April 26, 2021
Micron Technologies CEO Sanjay Mehrotra described semiconductors as a “backbone” of the economy during an appearance on CNBC’s “Mad Money.” Mehrotra’s comments were made in response to President Joe Biden’s proposed $2 trillion infrastructure package, which includes a $50 billion impetus for semiconductor research and manufacturing. Boise, Idaho-based Micron is one of the top five chipmakers in the U.S.
“This is clearly important because the semiconductors form the backbone of everything today in the economies,” Mehrotra said. “We are really a leader in memory and storage, the only U.S. company. We are definitely excited about the prospects of driving greater leadership in research, technology and products through the U.S., as well as on a worldwide basis.”
By definition, semiconductors are any of a class of crystalline solids intermediate in electrical conductivity between a conductor and an insulator, employed in the manufacture of multiple electronic devices, such as smartphones, appliances and computers. To put Mehrotra’s statement into perspective, semiconductor chips are an inextricable part of virtually every finished electrical, or mechanical product that we use in our day-to-day life.
Semiconductor manufacturing requires a highly evolved manufacturing sphere and technological prowess—currently only a few places in the world possess the capability. The U.S., Taiwan, South Korea, Japan and the Netherlands dominate semiconductor production. The U.S. is a major producer, with companies like Intel, Nvidia, Texas Instruments and Micron leading the charge.
But according to the Semiconductor Industry Association, in spite of its position as the world leader in research and development and capital expenditure, the U.S.’ year-over-year worldwide market share for 2019 was negative for the industry. Manufacturers are also reeling from the impact of COVID-19, which has upended supply chains and put the market in a state of flux. Additionally, while the U.S. remains the global leader in semiconductor design and R&D, most of the chip manufacturing is now performed in Asia, according to a recent report from semiconductors.org.
“This is about out-competing China, if we act now … we will compete with China,” said U.S. Commerce Secretary Gina Raimondo. “There is time to do that, to rebuild, to build in semiconductors in particular, but we have to get to the business of doing it.”
Raimondo’s comments and the potential aid package come amid an acute global shortage of chips and semiconductors that have hit many industries, especially automobile and electronics manufacturing. As demand grows for products that depend on semiconductors in the U.S. market, there is only one way to overcome the shortfall: boosting production. The proposed $50 billion plan would go toward production incentives and research and design, including the creation of a National Semiconductor Technology Center, according to administration officials.
Our team is made up of seasoned professionals who bring years of industry experience to the table. You gain a trusted advisor who understands your business inside out.
Say goodbye to the hassles of hiring, training and managing in-house finance teams. You will never have to worry about unexpected leave of absence or retraining new employees.
Whether you’re a small business or a global powerhouse, our solutions scale with your needs. We eliminate inefficiencies, reduce costs and help you focus on growing your business.
Accurate accounting is the bedrock of any successful business operation. Yet, medium-sized businesses—those that have grown beyond the small-business stage...
Distinguishing between independent contractors (1099) and employees (W-2) is a pivotal compliance matter for U.S. businesses. Misclassification can result in...
Spring symbolizes renewal, making it an apt metaphor for startups aiming to secure fresh capital to fuel their next growth...
Payroll is more than just issuing paychecks—it’s a complex, high-stakes process that can significantly impact employee satisfaction, legal compliance, and...
For startups seeking sustainable growth, every quarter provides a treasure trove of data—but Q2 data can be particularly revealing. By...
By the time Q2 rolls around, many startups have a clearer picture of their performance and market positioning compared to...
For many startups, the summer months can be a dual-edged sword. On one hand, warmer weather and looming vacations can...
Tax season often triggers stress and complexity—especially for startups laser-focused on building products, acquiring customers, and scaling operations. Yet savvy...
The halfway mark of any given year is more than just a date on the calendar; it’s a valuable checkpoint...