Rare show of unity as Senate passes tech bill
The Senate overwhelmingly approved a bill yesterday that aims to boost US semiconductor production and the development of artificial intelligence and other technology in the face of growing international competition, most notably from China.
The 68-32 vote for the bill demonstrates how confronting China economically is an issue that unites both parties in Congress. That’s a rarity in an era of division as pressure grows on Democrats to change Senate rules to push past Republican opposition and gridlock.
The centrepiece of the bill is a $50 billion (NZ$70b) emergency allotment to the Commerce Department to stand up semiconductor development and manufacturing through research and incentive programmes previously authorised by Congress. The bill’s overall cost would increase spending by about $250b with most of the spending occurring in the first five years.
Supporters described it as the biggest investment in scientific research that the country has seen in decades. It comes as the nation’s share of semiconductor manufacturing globally has steadily eroded from 37 per cent in 1990 to about 12 per cent now, and as a chip shortage has exposed vulnerabilities in the US supply chain.
‘‘The premise is simple, if we want American workers and American companies to keep leading the world, the federal government must invest in science, basic research and innovation, just as we did decades after the Second
World War,’’ said Senate Majority Leader Chuck Schumer, D-N.Y. ‘‘Whoever wins the race to the technologies of the future is going to be the global economic leader with profound consequences for foreign policy and national security as well.’’
Senate Minority Leader Mitch McConnell, R-Ky., said the bill was incomplete because it did not incorporate more Republicansponsored amendments. He nonetheless supported it.
While the bill enjoys bipartisan support, a core group of GOP senators has reservations about its costs.
One of the bill’s provisions would create a new directorate focused on artificial intelligence and quantum science with the
National Science Foundation. The bill would authorise up to $29b over five years for the new branch within the foundation with an additional $52b for its programmes.
Senators have tried to strike a balance when calling attention to China’s growing influence. They want to avoid fanning divisive anti-Asian rhetoric when hate crimes against Asian Americans have spiked during the coronavirus pandemic.
Other measures spell out national security concerns and target money-laundering schemes or cyber-attacks by entities on behalf of the Chinese government. There are also ‘‘buy America’’ provisions for infrastructure projects in the US. – AP