Applied Materials invests $4 billion in new Silicon Valley R&D center to support workforce growth

January 25, 2025 | Employment Training Panel, Agencies under Office of the Governor, Executive, California


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Applied Materials invests $4 billion in new Silicon Valley R&D center to support workforce growth
The January 25, 2025, meeting of the Employment Training Panel (ETP) in California focused on workforce development initiatives, particularly in the semiconductor and waste management sectors. The meeting began with a presentation from Applied Materials, which is investing $4 billion in a new research and development center in Silicon Valley. This facility is expected to create thousands of jobs and support the anticipated growth of the semiconductor industry, projected to reach a $1 trillion market by the end of the decade. Applied Materials emphasized the importance of ongoing ETP funding to enhance their training programs and workforce development efforts.

A key discussion point was the company's commitment to creating a talent pipeline through internships and apprenticeships. A panel member inquired about the transition from internships to full-time employment, prompting clarification that the company is focusing on apprenticeships as part of their workforce strategy. Philip Herrera from Herrera and Company highlighted the establishment of a registered apprenticeship program for process technician mechanics, which aims to address the industry's need for over 1 million new workers.

The panel unanimously approved Applied Materials' contract for $849,800 to support these initiatives, reflecting strong support for the company's efforts to bolster the semiconductor workforce in California.

Following this, Recology Service Center presented a proposal for $164,220 to train 255 workers across their Northern California locations. Chanel Durkee, the learning and development manager, outlined the company's commitment to sustainability and employee development. Recology, which operates as a 100% employee-owned company, aims to enhance operational and technical skills among its workforce, thereby reducing turnover and promoting upward mobility.

The meeting concluded with a focus on the importance of these training programs in fostering a skilled workforce that can meet the demands of growing industries in California. The panel's approval of both proposals underscores a commitment to investing in workforce development as a means to drive economic growth and innovation in the state.

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