How important is the Biden government’s $ 2 trillion investment in infrastructure chips and 5G? _ Oriental Fortune Network



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Original title: The Biden government invested $ 2 trillion in infrastructure. How important are chips and 5G?

  

On March 31 (Wednesday) local time, the President of the United States, Biden, delivered a speech in Pittsburgh, Pennsylvania, and announced a 2 trillion dollar infrastructure plan. The plan has a duration of 8 years and is “rebuild more beautifully” for the Biden-Harris administration.Good future“(Build Back Better) is part of the plan to rebuild America’s aging infrastructure, promote electric vehicles and clean energy, and create jobs. The infrastructure plan announced by Biden includes four main elements: First, investment in infrastructure from transportation and Establish a “resilient infrastructure” that can withstand weather disasters. The second is to transform and build more than 2 million affordable homes and commercial real estate, replace all lead pipes and service cables nationwide and invest in band broad overall. Third, improve the care economy and help the elderly AND disabled get affordable health care and expand nursing workforce. Invest in climate research and manufacturing. Fourth is to increase corporate tax to cover plan eight-year expense ratio. Biden proposes to raise the corporate tax rate to 28% and increase Set the minimum tax rate for multinational companies at 21%.

Among them, Biden proposed that Congress allocate $ 50 billion to subsidize chip manufacturing and research and development for the U.S. semiconductor industry.

In recent years, the share of US semiconductor production capacity in the global total has dropped from 37% to about 12%. However, the latest policy will improve the US’s ability to make chips and greatly increase incentives to build new chip factories. in the United States and provide new funds for the flow of R&D and the purchase of equipment.Bank of AmericaHalf,IntelThe recent increase in capital expenditures and its long-term plan to revitalize the foundry model is also good news for semiconductor vendors.Bank of AmericaI think the best option in this field isApplied Materials(AMAT.US)

Biden is determined to revitalize semiconductor manufacturing capabilities. In recent years, TaiwanTSMC, South Korea’s Samsung is a little too arrogant, overwhelming the ability of “dad”, must be defeated.

In terms of 5G,Bank of AmericaBiden’s management is believed to be able to use funds to encourage operators to deploy a large number of 5G equipment in the United States to compete with other countries. The recent record-setting c-band spectrum auction, coupled with government support, should give the industry a boost.

The bank believes that the main beneficiaries of 5G infrastructure include Samsung,NokiaEricssonMain ProviderMaiwell technology(Marvell), Qorvo and NXP (NXP).

In the field of intelligence and automation industry, the United StatesBankThe report states that the obvious beneficiaries of increased investment will includeTexas Instruments(IT) 和Microchip technology(Microchip), especially with a large number of factories in the United StatesTexas InstrumentsYou will become the biggest beneficiary.

In the automotive / electric vehicle field, chip vendors that will benefit from increased investment in semiconductors include NXP,IN Semiconductor(ONSemi) and Cree (CREE). Bank of America specifically noted that CREE represents more than 60% of the new generation of silicon carbide materials, which may be “critical” for the future of electric vehicles.

If China’s 5G is to be implemented, it still needs chip support. Although the process does not require process requirements as high as 5nm, there are not many companies that can do more than a dozen nm, which has also led to the current shortage of chips. .

(Article source: OFweek)

(Editor in charge: DF544)

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