The United States will invest millions to compete with Chinese technology


 

The technology industry has long become one of the most prosperous and important in the world. Not only does it represent billions of dollars but it is a sign of the power and innovation of countries. For years the United States was the benchmark in the area but little by little it has been losing relevance compared to other nations, including China. To stop this situation and boost its competitiveness, our neighbor to the north has just announced a million-dollar investment.


After months of political and obstacles debates, the Senate of the United States approved yesterday a huge bill to boost their competitiveness in science and technology and to cope with China.


The bill titled the United States Competition and Innovation Act, or USICA, is to invest billions in emerging technology industries such as artificial intelligence, semiconductors, and quantum computing.


This initiative, The Verge shared, is based on an earlier proposal by Senate Majority Leader Chuck Schumer, called the Endless Border Act, considered one of the first major bipartisan bills to come from the Biden administration. However, in recent months, the bill, which had been seen as a must-have piece of legislation for both parties, has been filled with political debate and much of the original funding waned as it progressed through the Senate process.


Still, the amounts are huge. In its current form, the bill will provide $ 52 billion for domestic semiconductor manufacturing, as well as a 30% increase in funding from the National Science Foundation and $ 29 billion for a new scientific direction that will focus on applied sciences.


Although, originally, the Endless Frontier Act was intended to provide $ 100 billion in funding for a new scientific direction at the National Science Foundation to promote research in emerging technological fields. In addition, it would distribute billions in regions across the country to build new technology centers and encourage companies in the sector to find locations outside of Silicon Valley and the coasts.


Regarding the relevance of this initiative, Schumer pointed out through his Twitter account: "Whoever wins the race towards the technologies of the future will be the world economic leader. We must invest in science, R&D, manufacturing and innovation."


This idea has the backing of the president of the United States, Joe Biden, who, last March, presented his extensive infrastructure package known as the American Jobs Plan. The original $ 2 trillion plan contained funds for broadband expansion, highways, and highways and called for $ 50 billion for domestic semiconductor manufacturing. Tuesday's vote in the Senate marks the next step toward achieving some of those goals.


Precisely one of the urgent issues that they are trying to address from this initiative is the global shortage of semiconductors. In fact, a 100-day government review of supply chains has been called for to address shortcomings in chip procurement. That review was released Tuesday and the White House launched a new task force to address these supply chain disruptions.


Beyond that issue, USICA also plans to allocate $ 10 billion to turn some cities into "technology hubs" focused on research and development in cutting-edge industries and creating new, well-paying offshore technology jobs. The funds will go to the Department of Commerce and cities will be able to explain to the government why they should be the recipient of these funds.


However, it should be noted that the package has yet to pass the House before President Biden can sign it into law.

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