The pieces are beginning to come together that could make Indiana a player in the economy of the future.
With several recent economic development announcements, Hoosiers can see the vision of Governor Eric Holcomb, Indiana Secretary of Commerce Brad Chambers, and other government and business leaders for the state to become a center for the production and development of computer chips, electric vehicle batteries, and others to make high-tech advances.
But the state must maintain its frenetic drive for economic advancement and increase its pool of skilled technology workers if it hopes to outperform other states and become a technology center for the heartland and the nation.
A spate of recent developments has boosted the state’s hopes.
In May, automaker Stellantis NV announced it had signed an agreement with renewable battery company Samsung SDI to build a $2.5 billion electric vehicle battery plant in Kokomo, expected to open in 2025 and by will create 1,400 jobs.
A month later, Taiwan-based MediaTek USA announced its partnership with Purdue University to set up a computer chip design center on the West Lafayette campus. This was followed by the announcement by Minnesota-based SkyWater Technology that it will build a $1.8 billion semiconductor fab in Purdue if it can receive federal funding through the new CHIPS and Science Act.
Last week, a joint venture between General Motors Co. and LG Energy Solution filed a tax break application for a St. Joseph County facility that — based on similar projects elsewhere — has more than $2 billion in investments and more than 1,000 Jobs could bring North Indiana.
Holcomb is not relentless in its economic development efforts. This week he led an Indiana delegation to Taiwan and South Korea to urge more Asian companies to invest even more in the state.
It’s this kind of continued push that will be required for Indiana to compete with other landlocked states to become an absolute technology leader and not just one of the 20 technology centers envisaged and funded by the CHIPS Act.
As IBJ’s Peter Blanchard notes in his story on page 1A, Ohio already has a small head start, landing a $20 billion semiconductor fab in Columbus. In Texas, Samsung Electronics plans to build up to 11 chip fabs worth $191 billion.
One of Indiana’s greatest challenges will be providing the high-tech workforce needed to support economic growth.
Indiana colleges are doing their bit. Purdue, for example, is starting a semiconductor development program. But that still doesn’t solve Indiana’s declining college enrollment rate and shortage of a skilled workforce.
In 2020, just 53% of Indiana high school graduates went straight to college, a sharp decline from 58% the year before.
That certainly won’t help produce the additional 41,000 skilled tech workers the state needs by 2030, according to TechPoint, an Indiana tech industry advocacy group.
The group has started an initiative called Mission 41K to help the state achieve this goal. But it will take an all-hands-on-deck approach from government, business and academia to make it happen.
Everyone should come on board.•
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