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In the same week that International Sematech announced plans for its Albany research and development facility, Intel Corp. said it was laying off 4,000 people.
At the same time, the Semiconductor Industry Association released an optimistic forecast for the chip-making industry, with predictions of 23 percent sales growth in 2003.
In embracing Sematech North, a $400 million alliance between the Austin, Texasbased research consortium and the state University at Albany, the Capital Region is hitching its wagon to the chip fabrication star. The R&D facility itself will employ 250-500 people, but the hope is that thousands of jobs will follow as other high-technology companies flock to the area. This is, at least, what happened in Austin, where Sematech opened its main research facility in 1986.
But is the semiconductor industry still going strong, as the San Jose-based SIA is saying? Or is it in trouble, as the layoffs at Intel-the world's largest chip maker and one of the 12 companies that make up Sematech-would indicate? And what will an influx of high-technology jobs mean for an area that has always prided itself on its economic stability?
Fear not, observers say.
"It does make for a little different economy," said Robert Lynch, senior vice president of investments for the Albany office of UBS PaineWebber. "We have a very stable-I hate to use the words 'low-risk' economy, with the state and educational facilities making up so much of the employment base. This will add to the risk-but it could also add to the reward."
The initial jobs, at Sematech North itself, will be in research and development. According to the state Labor Department, there are currently about 7,500 R&D jobs in...