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Cree making progress with Utica factory - Times Union

Albany

ALBANY — Cree, the North Carolina company that is building a $1 billion silicon carbide chip factory next to the SUNY Polytechnic Institute campus in Utica, is moving forward with construction and has hired a contractor to oversee the massive project.

The company that is doing the work, Exyte, built GlobalFoundries' Fab 8 computer chip factory in Saratoga County. Exyte used to be known as M+W Group and has its U.S. headquarters inside the ZEN building at SUNY Poly's Albany campus.

Exyte also worked on SUNY Poly's Quad-C building in Utica that houses Danfoss Silicon Power, a German company that packages silicon carbide chips into power modules used in electric cars and data centers.

Exyte is already hiring workers for the Cree factory construction project in Utica. Cree is building the $1.05 billion factory with a $500 million grant from the state approved late last year. Exyte officials could not immediately be reached for comment on how many workers it and its subcontractors will have on the site as construction continues, although the state estimates that the project will employ 3,600 construction workers.

The 480,000-square-foot facility isn't expected to be completed until 2022, and until then the company is using a small silicon wafer production line located at SUNY Poly in Albany to supply its business. The equipment in that Albany line, which was set up by General Electric Co., will eventually be transferred to the Utica fab once it is completed. Cree is also taking $122 million worth of existing manufacturing equipment that it owns and moving it to Utica to help outfit the factory there.

A Cree spokeswoman did not immediately return a call Tuesday seeking comment on the progress at the Marcy Nanocenter site, which is owned by the state and is located adjacent to SUNY Poly's Utica campus.

Cree CEO Gregg Lowe visited the Utica site, known as the Marcy Nanocenter, where site work is under way, back in mid-November. Lowe also visited the Saranac brewery in Utica, tending bar wearing a Utica Comets hockey jersey. Cree, which is based in Durham, N.C., is calling the Utica factory its North Fab.

"Just two weeks after we announced our partnership in New York, we successfully ran our first silicon carbide test wafers at SUNY Albany," Gregg said during an Oct. 30 conference call with analysts just weeks before it broke ground in Utica in November. "The prototype line in Albany was part of the overall incentive package and allows us to de-risk the start-up of a new fab. This first run is a small but significant step towards a very promising future for the Mohawk Valley fab."

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Cree making progress with Utica factory - Times Union
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