NY businesses urged to prepare for semiconductor supply chain growth

When most people think about the semiconductor industry, they picture massive fabrication facilities producing the computer chips that power everything from smartphones to automobiles.  

But according to industry leaders gathered at the recent NY SMART I-Corridor Semiconductor Summit, the real economic opportunity lies far beyond the factory floor. 

“The chip facility is the tip of the iceberg and ninety percent of the iceberg is under the water,” said Ananth Iyer, dean of the University at Buffalo School of Management. “There’s a lot more going on besides the clean room.”

That submerged portion represents a vast and growing network of suppliers, equipment manufacturers, logistics providers, warehouse operators, engineering firms and service companies that support semiconductor production. As New York continues to attract billions of dollars in semiconductor investment, these supporting industries stand to benefit significantly. 

That was a major theme of the summit, held at Rochester Institute of Technology’s RIT Inn and Conference Center, which brought together manufacturers, researchers, startups, economic development organizations and supply chain partners from across Upstate New York. Their goal: identify ways to strengthen the region’s position within one of the nation’s fastest-growing advanced manufacturing sectors. 

The timing is significant. The NY SMART I-Corridor, led by the Buffalo Niagara Partnership, CenterState CEO and OneROC, is one of only 12 federally designated Tech Hubs in the country. The initiative has secured more than $50 million in federal, state and matching investments aimed at accelerating semiconductor innovation, workforce development and supply chain growth. 

For businesses across New York, the message from industry leaders was clear: semiconductor growth is creating opportunities well beyond chip manufacturing itself. 

A keynote panel featuring executives from GlobalFoundries and Edwards Vacuum highlighted the increasing need for localized supply chains as the United States works to strengthen domestic semiconductor production. 

GlobalFoundries, one of the nation’s largest semiconductor manufacturers, operates four facilities, including two in New York, and generated roughly $6.8 billion in revenue in 2025.  

Edwards Vacuum, which supplies critical vacuum systems used in semiconductor manufacturing, recently opened a $140 million facility in Genesee County that is expected to employ nearly 300 workers. 

Those investments create demand for thousands of products and services supplied by other businesses. 

Diane Captein, director of Global Supply Management at GlobalFoundries, noted that semiconductor expansion will require a broad range of support, including specialized equipment, materials, transportation services, warehousing and engineering expertise. 

Similarly, Edwards Vacuum General Manager Dan Papsidero said the company’s operations require thousands of individual components, creating opportunities for suppliers throughout the region. 

However, panelists stressed that success will require a long-term commitment. Companies interested in serving the semiconductor industry must be prepared to invest in quality systems, workforce development and operational capabilities that meet the sector’s demanding standards. 

“We need to approach this with a long-term ecosystem mindset,” Papsidero said. 

That ecosystem approach was a recurring theme throughout the summit. Discussions focused on workforce development, startup funding, intellectual property protection, research collaboration and cross-border supply chain integration with Canada. 

For state leaders, the challenge is ensuring New York businesses are positioned to capture the economic benefits of the industry’s rapid expansion. 

Merideth Andreucci, senior vice president and executive director of the Governor’s Office of Semiconductor Expansion Management and Integration, said businesses from across the state are increasingly asking how they can participate. 

“This is the most significant industrial expansion of our lifetime,” she said. “Our goal is to make sure New York companies are ready.” 

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