IBM announced it would invest $20 billion in the state of New York over the next ten years to increase development and manufacturing of semiconductors, AI, mainframe technology and quantum computing.

Chairman and CEO Arvind Krishna stated investing in innovation was key for tackling large-scale challenges across climate, energy and transportation.

The company stated it aims to bolster the broader technology sector in the US state, along with seeking semiconductor innovations.

IBM’s move centres on its facility in the city of Poughkeepsie, which it noted stands to benefit from the recently-passed CHIPS and Science Act.

US President Joe Biden is scheduled to tour the plant today (6 October). IBM noted the legislation will contribute to delivering a “reliable and secure supply of next-generation chips” for PCs and AI platforms, while fuelling “the future of quantum computing” by boosting R&D and supply chains.

Earlier this week, Micron Technologies laid plans to invest up to $100 billion over the next 20 years to build a large chip factory in the US state.