California Construction News staff writer
The State of California has awarded more than $149 million in grants and tax credits to 12 companies to expand operations and semiconductor manufacturing capabilities for electric vehicles and electric aircraft.
“Investing in ingenuity and innovation works, and no place does it better than California. Businesses like the ones we’re investing in today will drive the future of our economy, helping create thousands of good-paying jobs and bringing billions in economic investment to communities up and down the state,” said Governor Gavin Newsom.
Grants are going to:
- Joby, a leader in the electric aircraft field, will be making over $40 million of capital investments and creating nearly 700 new jobs as part of its expansion efforts in Santa Cruz and Marina.
- AIBOT received a $15 million grant to further its manufacturing and R&D capabilities in Long Beach and Mojave as it continues developing artificial intelligence software and building autonomous electric aircrafts. In exchange, they will create almost 700 new jobs and invest nearly $500 million across the two locations.
- Tynergy received a $15 million grant to relocate its headquarters from Wyoming to Fresno, where they will manufacture semiconductors and energy storage systems. In the process, they will create at least 500 new, full-time jobs and make nearly $21 million of capital investments in the region.
- Infinera, a semiconductor chip developer and manufacturer, received a $14 million grant to expand its operations in San Jose and Sunnyvale. Between the two locations, they will make over $180 million of capital investments and create nearly 250 new jobs.
- Sparkz, a lithium iron phosphate battery manufacturer, received an $11.2 million grant to create 500 new, full-time jobs and make over $83 million in capital investments in Rancho Cordova.
- Snapchat, who is expanding their operations in Palo Alto, San Francisco and Santa Monica, will use their award to advance their manufacturing capabilities for augmented reality devices.
- ai and Humane will use grants to further develop artificial intelligence software and expand their operations in San Francisco and the broader Bay Area.
The California Competes Tax Credit was created in 2013 to help businesses grow and stay in California. In 2022, the program was extended for an additional five years with at least $180 million in tax credits available for allocation to businesses each year through 2028.