CHIPS and Science Act is good for Nevada

Adding another rung on the ladder to POST-COVID recovery, Congress passed the CHIPS+ bill that was signed into law by President Joe Biden on Aug. 9. I was honored to serve on the Conference Committee between the House and the Senate, where I worked hard to guarantee gaming industry interests were represented throughout the negotiation process. The final compromise bill is critical to promoting our semiconductor chip industry, advancing American manufacturing, firing up supply chains, supercharging research and development, and thus ensuring the U.S. can better compete in an increasingly digital global marketplace.

Semiconductor chips are used in everything from vehicles, cellphones, medical equipment and military weapons to various machines across the gaming spectrum, including slot machines in Nevada casinos. A modern Strip casino is built on technology. According to the Nevada Gaming Control Board’s July 2022 monthly report, there are over 34,806 slot machines on the Las Vegas Strip. Additionally, there are over 1,000 restricted gaming locations, where slot machines are allowed in bars, restaurants or other locations throughout Southern Nevada. Each of these slot machines is a high-powered computer that requires semiconductors to run. With millions in dedicated funding for the technology needed for slot machines and gaming, CHIPS+ makes a direct investment in our primary driver of economic growth and tourism.

The impact of the legislation, however, goes far beyond the gaming industry. Semiconductors were invented in the U.S., but over time we have allowed the manufacturing of this technology to move overseas, a transition that has driven up costs for businesses and families here at home. In 1990, the U.S. made 40% of the world’s chips but today makes only about 12%, relying heavily on countries in Asia to manufacture these devices. To counter this slippage, CHIPS+ makes a $52 billion direct investment in the domestic manufacturing of semiconductors, including $11 billion for initiatives to promote cutting-edge research. The funding also invests in workforce development so that our country has the talent it needs to support this critical industry. Once the funding is fully set in motion, we will have created 100,000 good-paying, union jobs here in the U.S.

CHIPS+ is also a remarkable investment in our nation’s cybersecurity. In the modern digital world, our adversaries are using chips as an avenue to infiltrate our data, intelligence systems and industrial operations. Investments in CHIPS+ will empower the U.S. to produce semiconductors in domestic facilities like Qualcomm and Intel Corporation.

Businesses of all sizes can be infiltrated. Customers’ credit card information has been stolen from large, seemingly safe retailers like Target. Cybercriminals have increasingly attacked utilities too. Even the Clark County Water Reclamation District was hacked a few years ago. These problems are so prevalent that a special cybersecurity division, the Cybersecurity and Infrastructure Security Agency (CISA), exists within the Department of Homeland Security, solely dedicated to preventing and countering attacks. Academic institutions are also addressing the evolving cyber threat landscape. UNLV hosts a Cybersecurity Center that has been designated as a National Center of Academic Excellence in Cyber Defense Education and offers free cybersecurity consultation services to small businesses. The program’s goal is to reduce vulnerability in our national information infrastructure by promoting education and research in cyber defense.

Our national security is also at risk. The weapons systems we use on today’s battlefields need access to a steady, secure supply of microelectronics. Our competitors are making considerable investments in this area. China has already spent $150 billion updating its semiconductor industry. The investments made through CHIPS+ will directly support restoring our country’s technological and military upper hand.

As we look to an ever-complex digital world in education, industry, politics, medicine and defense, we must become independent of outside resources. We must develop our own advanced technology and train a highly skilled workforce. CHIPS+ goes a long way toward achieving these goals by making smart investments so we do not just compete but excel in the future.