Colorado Springs scored big again for the regional and state economies and the country’s security.
“Well folks, it is yet another great day in Olympic City, USA,” said Colorado Springs Mayor John Suthers at a Friday news conference. “I’ve been saying that a lot over the last several years, and I’m very excited to do it again today.”
Suthers announced plans for major expansion in the city by Microchip Technology, which manufactures microchips we depend on to get through everyday life. Suthers said the expansion will have an annual economic impact of $144 million or $1.4 billion over 10 years. The expansion could create up to 400 permanent high-wage jobs.
Microchips are essential to our cars, home appliances and most national defense technology. Despite their essential role in life as we know it, our country depends on Taiwan to produce 90% of the microchips we use. Taiwan is a valued and trusted ally but lives under constant threat of invasion by the increasingly aggressive Chinese Communist Party — a predatory government that recently floated a spy balloon above U.S. military operations.
“The global economy cannot function without chips that are made in either Taiwan or China,” wrote economist Carl Weinberg in a report by High-Frequency Economics.
To address the need for more domestic production of microchips, Congress last year passed the CHIPS Act, which stands for Creating Helpful Incentives to Produce Semiconductors. Microchip is seeking funds from the CHIPS Act and has secured state and local incentives of $47 million to help fund the expansion.
The Microchip Technology announcement comes two months after the Massachusetts-based high-tech manufacturing firm Entegris announced plans for a $600 million “manufacturing center of excellence in Colorado Springs.” The center will make “critical products used to manufacture semiconductors.”
The Entegris announcement came just four days after Denver-based technology company Zivaro announced plans for a major expansion of its Colorado Springs operations. The company plans to add about 300 jobs paying average wages of $165,076. It could add up to 600 high-wage jobs within a few years and add $2.5 billion to the Springs area’s economy over five years.
Don’t expect the good news to stop there. Word is out about the quality of life in Colorado Springs and the region’s talented workforce. Word is out that Colorado Springs said “no” to the drug culture that increasingly defines too many other parts of our state. Word is out that Colorado Springs supports businesses and military operations with good roads and politicians who respect and reward law enforcement. Success builds on success, so we can expect more high-tech military and private-sector expansion in and into Colorado Springs.
“Microchip’s announcement Friday conjures up images of Colorado Springs high-tech industrial past — when companies such as Hewlett-Packard, Honeywell, Ford Microelectronics, Ramtron and even Intel had a major presence in the city,” says a Gazette article by Rich Laden. “Some business and civic leaders even began using the term ‘Silicon Mountain’ to compare the Springs to Northern California’s ‘Silicon Valley.’ ”
Colorado Springs has built on a recommitment to excellence since 2010, when voters stabilized city government by creating an executive branch headed by a “strong mayor.” Twelve years into the transition, we have seen massive improvements to roads, storm drainage and public safety. The Springs has become an environment conducive to and supportive of athletic success, military advancement and private-sector innovation and profits.
“As someone who’s lived in Colorado Springs all my life, I’ve got to tell you, I am particularly excited to see us return to our high-tech, industrial roots,” Suthers said during the Microchip announcement ceremony. “We are becoming Silicon Mountain once again.”
Indeed. Colorado Springs should continue building on a drug-resistant, family friendly reputation for public safety, excellence in education, modernized infrastructure and stable governance. A strong Olympic City USA — aka “Silicon Mountain” — is good for the region, the state and national security.
The Gazette Editorial Board
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