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48
Powering the Future: How the SEMI Foundation is Building America’s High-Tech Workforce
This month spotlighting the SEMI Foundation, Tyler Butler’s series explores the myriad ways businesses give back and the positive ways their programs impact our community..
FEATURE
42 The Power of Communications
Martijn Pierik examines the importance of businesses amplifying their “how” and “why” in the age of semiconductors.
DEPARTMENTS
11 Guest Editor
Rose Castanares, president of TSMC Arizona, introduces “The Semiconductor Industry” issue.
12 Feedback
Mohammed Ahmad, Justin Brown and Ian Shantz respond to In Business Magazine’s burning business question of the month: How does this major influx of semiconductor-related businesses to the Valley help you?
14 Briefs
“The Business Case for Mental Healthcare” “Dailies Top Stories,” “Local Standouts Recognized for Achievements and Philanthropy,”
“SEMIquest Connects Arizona Students to the Future of Chips” and “New Facility Opens for Advanced Manufacturing and More at West-MEC Campus”
17 By the Numbers
With an economy in the chips, Arizona is the U.S. semiconductor epicenter.
18 From the Top
SEMI Americas president Joe Stockunas focuses on attendance, relevance and — in 2025 — on Phoenix.
19 CRE
“Sustainable Water Management Starts with Strong Infrastructure,” “Busch Vacuum Solutions Facility in Tempe,” “Veolia Opens Flagship Water Treatment Center in Scottsdale,” “TSMC Water Reclamation Plant Aims for 90% Recycling Rate” and “Multifamily Real Estate Development in the Phoenix Metro Area”
22 Semi Insights
“Waste Reduction Is Key for the Semiconductor Industry,” “ASU Professor Honored for Innovation in 3D Chip Design” and “Arizona Leads the Way in Building Resilient Supply Chains”
COVER STORY
30
SEMI Complete: The semiconductor ecosystem brings Arizona front and center
In this story, indeed in this entire October edition, In Business Magazine celebrates the strength, diversity and reach of the semiconductor ecosystem as an economic powerhouse.
26 Healthcare
“From Insight to Action: 3 Moves Employers Can Make to Support Caregivers” and “The Workforce Crisis No One Is Talking About”
28 Technology
"AI, Game Play and People" and Developmentand “Powering Phoenix’s Tech Growth with Data Infrastructure”
43 Books
New releases give fresh insights on business thinking.
44 Economy
Shawn Walters explores why, in industries like semiconductors — where supply chains crisscross the globe and many U.S.-based firms have foreign employees, subsidiaries and partners — U.S. firms should consider transacting in foreign currencies.
46 Legal
Nonnie Shivers discusses how to avoid a short circuit with a lawful workforce contraction strategy, addressing the tech sector generally and semiconductor companies specifically who must navigate fluctuating demand due to the cyclical nature of the industry, the growing talent shortage, and evolving laws related to layoffs.
50 Nonprofit
Exploring the use of AI in the nonprofit setting, Richard Tollefson discusses the importance of studying the capabilities of AI, first, and determining the specific issues the AI will be used to address.
52 Assets
2025 Lucid Gravity Grand Touring
Plus: How to lose a traveler’s lost-luggage worries
54 Power Lunch
Hanny’s Is Palate to Palette Experience
62 Roundtable
John Mitman takes a thoughtful look at import tariffs and the hidden costs of staying competitive, issues of critical interest given today’s increasing energy demands and Arizona's booming tech industry.
“It was not so very long ago that people thought that semiconductors were part-time orchestra leaders and microchips were very small snack foods.” —Geraldine Ferraro, former U.S. Representative (D, N.Y.) and the Democratic Party's nominee for vice president in the 1984 presidential election
We’re here to focus health care where it belongs: on you. You deserve the kind of care that goes beyond a chart or a prescription. It’s the kind of care that covers everything you need to live your healthiest life, including support from a whole team of doctors, nurses, and specialists to keep you feeling good. And it’s care that gives you all the benefits of a nationally recognized health care company with a hometown, personal touch.
RaeAnne Marsh
Editor in Chief, In Business Magazine
RaeAnne Marsh became editorial director of Phoenix-based InMedia Company in 2010 and helped launch Valley-wide business resource In Business Magazine Holding the magazine to strong editorial standards, she says, “New businesses are founded, out-of-staters bring new strengths, established businesses evolve and expand — all of which contributes to the dynamic vitality that I see as the mission of In Business Magazine to be the voice of and vehicle to nurture. It is my challenge to ensure each edition is packed with relevant information on a broad spectrum of issues, aimed at a readership that runs the gamut from entrepreneurial startup to major corporation.” Marsh was awarded 2024 Small Business Journalist of the Year from the U.S. Small Business Administration, Arizona District.
Guest columns are feature articles presented as a special, limited series as well as regular, ongoing series in In Business Magazine
Tyler Butler
Guest Columnist – Social Impact
A long-time corporate social responsibility practitioner, Tyler Butler is known for her expertise in creating, launching and developing successful social impact programs. Her commitment to rallying people together to make a positive difference has created sustainable signature programs empowering people to give back in myriad ways globally. She operates under the ethos of “each one teach one,” and so her contributions to In Business Magazine provide her with an outlet to share the best of what companies are doing to aid humanity — shedding light on good corporate citizens and share stories about the magic they are creating through their generous outreach efforts.
Kim Ryder
Guest Columnist – Commercial Real Estate
Kim Ryder is a dynamic commercial real estate executive with extensive experience in managing multi-million-dollar, complex projects and the build-out of more than 54 million square feet of retail and commercial space. Ryder has started several business lines in her career, most notably launching Thrive Real Estate and Development groups. Her career in the thrift industry extends over 25 years and led her team to expand the Goodwill real estate portfolio by more than 100 locations, having leadership over more than 400 transactions. Her expertise in thrift real estate has made her a well-known resource of knowledge
Bruce Weber
Guest Columnist – Capacity
Bruce Weber sees In Business Magazine as a valuable forum for topics relevant to our business and nonprofit community. “I am deeply interested in organizational capacity and what makes organizations successful and impactful in the work they do. In my work in the community for more than 16 years, I have worked with all sizes of organizations and leaders in helping their businesses grow and expand their impact. My previous careers with Microsoft and Hewlett Packard involved working with business integration partners to design strategies to engage new markets. In today’s complex world, I enjoy exploring the possibilities and opportunities that change can bring.”
This month’s contributors
Bob Cappadona is president and CEO of the Environmental Solutions and Services business for Veolia North America, which specializes in the sustainable management of hazardous waste. (“Waste Reduction Is Key for the Semiconductor Industry,” Semi Insights, page 22)
John Mitman is the founder and CEO of Obodo Energy Partners, a leading provider of large-scale solar and energy infrastructure solutions. (“Import Tariffs: The Hidden Costs of Staying Competitive,” Roundtable, page 64)
Martijn Pierik brings nearly 30 years of experience in public relations, journalism and marketing to support Kiterocket's growing technology and innovation practice. (“The Power of Communications,” Marketing, page 44)
Nonnie Shivers is Phoenix office managing shareholder for Ogletree Deakins, with extensive subject matter expertise in highly regulated industries. (“Layoff Logic: How to Avoid a Short Circuit with a Lawful Workforce Contraction Strategy,” Legal, page 48)
Richard Tollefson is founder and president of The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists. (“Understanding AI in the Nonprofit Setting,” Nonprofit, page 52)
Shawn Walters is senior vice president of global banking services at UMB Bank, Capital Markets Division. (“Not Just Dollars,” Economy, page 46)
Editor in Chief RaeAnne Marsh
Associate Publisher Nico Pacioni
Graphic Design Matt Fischer
CONTRIBUTING WRITERS
Tyler Butler
Bob Cappadona
Samantha Hay
Mike Hunter
Graham B. Johnson
John Mitman
Martijn Pierik
Stephanie Quinn
Tim Rockholt
Nonnie Shivers
Justin Steltenpohl
Seth Sternberg
Richard Tollefston
Kuldip (Ken) Verma
Shawn Walters
ADVERTISING
Operations Louise Ferrari
Business Development Raegen Ramsdell
Louise Ferrari
Cami Shore
Events Amy Corben
WTSM TV STUDIO
General Manager Chris Weir
More: Visit your one-stop resource for everything business at inbusinessphx.com. For a full monthly calendar of business-related events, please visit our website.
Inform Us: Send press releases and your editorial ideas to editor@inbusinessphx.com
President Camron McCartney
Editorial Director RaeAnne Marsh
Financial Manager Tom Beyer
Office Manager Allie Jones
Accounting Manager Todd Hagen
Founder & Chair Rick McCartney
Corporate Office InMedia Company 45 W. Jefferson Street Phoenix, AZ 85003 T: (480) 588-9505 info@inmediacompany.com www.inmediacompany.com
In Business Magazine is a collaboration of many business organizations and entities throughout the metropolitan Phoenix area and Arizona. Our mission is to inform and energize business in this community by communicating content that will build business and enrich the economic picture for all of us vested in commerce.
PARTNER ORGANIZATIONS
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Steven G. Zylstra, President & CEO Arizona Technology Council One Renaissance Square (602) 343-8324 www.aztechcouncil.org
Kristen Wilson, CEO AZ Impact for Good (602) 279-2966 www.azimpactforgood.org
Terri Kimble, President & CEO Chandler Chamber of Commerce (480) 963-4571 www.chandlerchamber.com
Joanna Horton McPherson, President NAWBO Phoenix Metro Chapter (480) 289-5768 www.nawbophx.org
Robin Arredondo-Savage, President & CEO Tempe Chamber of Commerce (480) 967-7891 www.tempechamber.org
Our Partner Organizations are vested business organizations focused on building and improving business in the Valley or throughout Arizona. As Partners, each will receive three insert publications each year to showcase all that they are doing for business and businesspeople within our community. We encourage you to join these and other organizations to better your business opportunities. The members of these and other Associate Partner Organizations receive a subscription to In Business Magazine each month. For more information on becoming an Associate Partner, please contact our publisher at info@inbusinessphx.com.
ASSOCIATE PARTNERS
Ahwatukee Foothills Chamber of Commerce ahwatukeechamber.com
Arizona Chamber of Commerce & Industry azchamber.com
Arizona Hispanic Chamber of Commerce azhcc.com
The Black Chamber of Arizona phoenixblackchamber.com
Economic Club of Phoenix econclubphx.org
Glendale Chamber of Commerce glendaleazchamber.org
Greater Phoenix Chamber of Commerce phoenixchamber.com
Greater Phoenix Equality Chamber of Commerce gpglcc.org
Mesa Chamber of Commerce mesachamber.org
North Phoenix Chamber of Commerce northphoenixchamber.com
Peoria Chamber of Commerce peoriachamber.com
Phoenix Metro Chamber of Commerce phoenixmetrochamber.com
Scottsdale Area Chamber of Commerce scottsdalechamber.com
Scottsdale Coalition of Today and Tomorrow (SCOTT) scottnow.com
Surprise Regional Chamber of Commerce surpriseregionalchamber.com
WESTMARC westmarc.org
Rose Castanares is a 27-year veteran of TSMC and is currently president of TSMC Arizona, where the company is now producing the most advanced semiconductor technology on American soil. Castanares previously served as senior vice president of Business Management for TSMC North America, and her career includes leadership roles at Chartered Semiconductor, GTE, National Semiconductor and Siliconix. Castanares earned her Bachelor of Science in material engineering from the University of Illinois at Urbana-Champaign.
tsmc.com/static/abouttsmcaz/ index.htm
Chip Power
Chips power more than the devices — from smart phones to medical applications to home appliances and to cars — that define contemporary life; here in Arizona, they also power our community.
TSMC first announced its plan to bring cutting-edge semiconductor manufacturing capability to the U.S. in May 2020. According to the Arizona Commerce Authority, since 2020 Arizona has attracted more than 60 expansions in the semiconductor industry, representing roughly 25,000 projected new jobs and more than $205 billion in investment — more than any other state. These expansions span leading-edge manufacturing, R&D, equipment, materials suppliers, advanced packaging, workforce and more, positioning Arizona as the hub of the semiconductor value chain.
TSMC Arizona has been prominently featured for the size of our investment and number of jobs created, but the semiconductor industry is strong around us and continues to expand. Its strength comes from the depth and breadth of that industry and the ecosystem around it. Some of that is showcased in this month’s cover story, which, among others, includes Saras Micro Devices, which provides power delivery solutions, Everspin Technologies, which offers memory storage products, Foam Packaging Specialties, which offers packaging solutions for sensitive products, and Intel, with a storied 45 year history in our state.
Phoenix this month is hosting SEMICON West as the industry’s signature event moves for the first time out of its home in San Francisco, and the event will alternate between the two cities from this year forward. The span and strength of the event is credit to Joe Stockunas, CEO of SEMI Americas, who is featured in this edition’s From the Top profile.
In the Semi Insights section feature article “Waste Reduction Is Key for the Semiconductor Industry,” Bob Cappadona gives an inside look at the role played by Veolia, which provides municipal water and wastewater treatment services, in supporting the region’s growing semiconductor industry — an industry that relies on ultra-pure water and innovative management strategies.
Although advances from the industry and within it have immense effect on our daily lives, knowledge of them can be lost to the general consumer. Professionals in communication are needed to bridge that chasm, as Martijn Pierik explains in his feature article “The Power of Communications.”
This October edition addresses other operational elements of business: “Not Just Dollars: Why U.S. firms should consider transacting in foreign currencies” is this month’s Economy feature; “Layoff Logic: How to Avoid a Short Circuit with a Lawful Workforce Contraction Strategy” is this month’s Legal feature, delving into the challenges of a fluctuating demand and labor regulations.
And John Mitman, for this month’s Roundtable feature, tackles a topic that impacts the semiconductor along with many other industries in “Import Tariffs: The Hidden Costs of Staying Competitive.”
Semiconductors reach into every aspect of our lives, and many of the other articles in this October issue underscore that as they cover topics from healthcare to commercial real estate. This October edition of In Business Magazine celebrates the semiconductor industry as a powerhouse for our economy and a building block for our future. I am pleased to help bring you this edition and hope you enjoy the read.
Sincerely,
Rose Castanares President TSMC Arizona
[Editor’s Note: The views expressed in this edition are those of Greater Phoenix In Business Magazine or the respective authors and are not attributable to TSMC.]
FEEDBACK
QUESTION:
Let us know what you want to know from the Valley’s top business leaders. editor@inbusinessphx.com
For all past Feedbacks go online to inbusinessphx.com and see what Valley executives think on various business topics.
How does this major influx of semiconductor-related businesses to the Valley help you?
MOHAMMED AHMAD
AVP of Business Banking
Arizona Financial Credit Union
Sector: Financial
The semiconductor industry is booming here in Phoenix, and you can feel the impact everywhere. New facilities are going up, jobs are being created and families are moving in to be part of it all. It’s not just about the factories; it’s about the ripple effect of new restaurants opening their doors, small businesses expanding and neighborhoods growing to welcome new residents.
At Arizona Financial, we’re excited to support this momentum. With our diverse line of loan services in commercial, construction and residential, we are primed to help sustain the growth across the Valley and state. As a Small Business Administration preferred lending partner, we are poised to continue supporting small business growth and look forward to helping entrepreneurs as our Valley grows.
We are also collaborating with our partners across the business and nonprofit sectors to continue the support of community groups that keep our collective communities sustainable through both our volunteerism and philanthropic giving. And for the many people relocating here to work in this industry, we’re making sure they have the financial tools and everyday banking support they need to settle in quickly.
Arizona Financial azfcu.org
Mohammed Ahmad is the assistant vice president of Business Banking at Arizona Financial Credit Union in Phoenix. With 17 years in banking and a degree in economics from ASU, he is dedicated to supporting Arizona’s business community and advancing equity for minority entrepreneurs through efforts like Local First Arizona’s We Rise accelerator.
JUSTIN BROWN
President
Southwest Gas Corporation Sector: Utilities
As Arizona’s semiconductor industry expands at an unprecedented pace, I’ve seen firsthand how this growth is not only reshaping Arizona’s economy but also driving Southwest Gas to grow and expand our service. Semiconductor manufacturing is energy-intensive, requiring consistent, high-quality energy to maintain precision and scale. By providing safe, affordable and reliable natural gas service, we ensure these advanced facilities have the stable energy they need — while also creating opportunities for us to extend and modernize our infrastructure.
This demand allows us to strengthen and expand our service areas, ensuring communities and businesses benefit from the same energy options. As semiconductors fuel economic development, we’re not just powering factories, we’re investing in the neighborhoods, schools, healthcare facilities, small businesses and restaurants alongside them.
By working hand in hand with city planners, economic developers and industry leaders, Southwest Gas is expanding in step with Arizona’s semiconductor growth. This collaboration enhances our reach and reinforces our role in delivering a sustainable, balanced energy mix that keeps Arizona’s economy moving forward.
Southwest Gas swgas.com
Justin Brown is president of Southwest Gas Corporation, where he leads the company’s utility business. He drives the company’s commitment to delivering safe, reliable, sustainable and affordable energy service.
IAN SHANTZ
Vice President
Hunter Contracting Co.
Sector: Construction
The rapid expansion of semiconductorrelated businesses in the Valley — led by transformative projects such as Taiwan Semiconductor Manufacturing Company — is driving major economic and infrastructure growth. These investments fuel improvements in transportation networks, utility systems and community facilities, creating opportunities for local contractors to deliver complex, multi-stakeholder projects. For companies like ours, it means partnering with public agencies, private developers and utility providers to design and build infrastructure that supports sustained economic vitality.
The increased demand for highquality roads, water systems and power infrastructure raises the bar for coordination, safety and performance standards. These projects also encourage close collaboration between engineers, contractors and municipalities to meet aggressive schedules while minimizing disruption to surrounding communities.
Beyond immediate construction efforts, this wave of development positions the Valley as a leader in advanced manufacturing, attracting additional investment, creating jobs and fostering innovation. The resulting ripple effect benefits industries across the region and underscores the importance of building resilient, adaptable infrastructure to meet current needs and accommodate future growth.
Hunter Contracting Co. huntercontracting.com
Hunter Contracting Co., founded in 1961, is an Arizona-based heavy civil contractor.
DAILIES TOP STORIES
‘In
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Here are the stories with the most views over the past 30 days (prior to press time) that were features in our In Business Dailies, which hits email inboxes every weekday at 9:30 a.m. Sign up today: at www.inbusinessphx.com/dailies-signup
Commercial Real Estate & Development | inbusinessphx.com | August 28, 2025
Scottsdale Brokerage Tops $1B in Sales amid Valley Luxury Home Market Growth inbusinessPHX.com
RETSY, Arizona’s Forbes Global Properties brokerage, announced that it crossed the $1 billion mark in sales volume more than two months earlier than in 2024, despite a more challenging housing market marked by rising interest rates and shifting commission structures.
Commercial Real Estate & Development | inbusinessphx.com | September 15, 2025
Gilbert’s First Garage-Style Apartment Community Debuts with 257-Unit Alta 87
inbusinessPHX.com
National multifamily developer Wood Partners has expanded its presence in Phoenix with the opening of Alta 87 in Gilbert, Arizona, a suburb southeast of the city. This marks the company’s third community in the region and the Town’s first with a structured parking garage. Alta 87 is now leasing, offering two months of free rent along with other exclusive specials.
Startup & Entrepreneurship | inbusinessphx.com | August 21, 2025
Disruptive Real Estate Tech Co. Launching in Phoenix with $65.5M Funding Round inbusinessPHX.com
Bonus Homes, a real estate technology and investment company redefining the way middle-class Americans build wealth through home ownership, announced it will open its headquarters in Greater Phoenix backed by $65.5 million in seed funding.
Leadership & Management | Cover Story | September 2025
Growth and Opportunity: Honoring Our 2025 Women of Achievement
by RaeAnne Marsh
“We can’t become what we need to be by remaining what we are.” —Oprah Winfrey
Does growth engender opportunity, or is the inverse true? The two are intrinsically tied to each other, and, as Oprah suggests, taking or making opportunities to grow is necessary for success.
The Business Case for Mental Healthcare
Mental health is no longer just a personal issue — it’s a workforce crisis.
Nationwide, conditions like depression, anxiety and PTSD now cause more long-term health problems than any other illness. A new report from McKinsey & Company shows that mental health disorders account for 32% more disability than heart disease, cancer, diabetes and chronic respiratory illness combined.
When mental health suffers, so does productivity. Workers may call in sick, struggle to concentrate or leave the workforce altogether. The ripple effects are evident in higher turnover, increased healthcare utilization and diminished morale. In Arizona alone, untreated mental illness is estimated to cost the state a whopping $11 billion annually in lost wages, hospitalizations and incarceration.
This is not just a public health concern — it’s an economic imperative.
What can employers and community leaders do? First, recognize that investing in mental health isn’t a nicety — it’s a necessity. The McKinsey report shows that every dollar spent on effective mental healthcare yields up to $6 in return through improved productivity and reduced healthcare costs.
Second, support approaches that prioritize early intervention, fast access to care and coordination between mental health and medical providers. When people can access
therapy, psychiatry and primary care under one umbrella — and when those services are available quickly and with flexible options like telehealth or after-hours appointments — outcomes improve.
Third, lead by example. Employers can set the tone by offering robust mental health benefits, reducing stigma in the workplace and creating environments where people feel supported in seeking help. Healthy teams don’t just perform better — they stay with the company longer, collaborate more effectively and fuel sustainable business growth.
Arizona is rapidly emerging as a hub for innovation, with major semiconductor and technology companies investing heavily in the region’s future. To fully realize the potential of this economic expansion, business leaders must ensure the workforce powering it has access to the mental healthcare needed to thrive.
The bottom line is clear: Arizona businesses cannot afford to treat mental health as separate from physical health or from business performance. Mental healthcare is an investment — in people, in productivity and in the long-term health of the state’s economy. —Graham
B.
Johnson, MAcc, CPA, CEO of Denova Collaborative Health (www.denova.com), Arizona’s largest provider of behavioral health services, offering psychiatry, therapy, primary care and case management
A report from McKinsey shows that every dollar spent on effective mental healthcare yields up to $6 in return through improved productivity and reduced healthcare costs.
Local Standouts Recognized for Achievements and Philanthropy
Intel CEO Named for Phil Kaufman Award
Intel CEO Lip-Bu Tan has been named the 2025 Phil Kaufman Award honoree for distinguished contributions to electronic system design. Presented by the Electronic System Design Alliance and IEEE’s Council on Electronic Design Automation, the award recognizes Tan’s leadership and impact on the semiconductor industry. intel.com
Saras Secures 8 Foundational Patents
Saras Micro Devices has been awarded eight patents from the U.S. Patent and Trademark Office for its capacitor and STILE technologies. The intellectual property strengthens the company’s position in advanced power delivery solutions for high-performance computing and artificial intelligence applications. sarasmicro.com
Benchmark Expands in Guadalajara
Benchmark Electronics has opened a new facility in Tlajomulco de Zuñiga, Jalisco, Mexico, expanding its advanced manufacturing capabilities in the region. The site serves as a hub for the company’s reimagined new product introduction model, helping customers accelerate qualification and ramp-up times while supporting high-reliability, low-tomedium volume production. bench.com
SEMICON West Lounge Tradition in Phoenix Kiterocket will host its first-ever Kiterocket Lounge in Phoenix during SEMICON West, extending an 18-year tradition of convening industry leaders in San Francisco. The expansion underscores the lounge’s role as a hub for connection, collaboration and conversation across the semiconductor ecosystem. kiterocket.com
Everspin Strong in Volunteering
Everspin Technologies employees recently spent time volunteering at Feed My Starving Children during the company’s annual technology conference. The event was the latest in a series of service projects that reflect Everspin’s culture of giving back, with employees regularly engaging in community activities throughout the year. everspin.com
onsemi Highlights Global Philanthropy
Onsemi reported $3.4 million in charitable donations to communities worldwide in 2024, including $2 million awarded to 52 organizations advancing STEAM education in underserved communities. Employees contributed 10,500 volunteer hours, with more than 2,000 team members participating in service projects across the globe. The company also matched $40,000 in employee donations for local disaster relief. In 2025, onsemi’s Giving Now program continued with a grant cycle open May 1 through July 31, along with new enhancements that include a 200% donation match for 2024–25 grant recipients. onsemi.com
SEMIquest Connects Arizona Students to the Future of Chips
When SEMICON West opens in downtown Phoenix this October, it won’t just be industry leaders gathering. Just a few blocks away, students will step into SEMIquest, a new interactive exhibit at the Arizona Science Center that brings the semiconductor world to life for Arizona’s middle and high schoolers. Created by the SEMI Foundation, the experience blends hands-on science, emerging technology and career exploration in one place.
Inside, students will wire circuits using breadboards, handle materials used in chip manufacturing and take part in coding challenges. They'll explore how semiconductors support everything from electric vehicles to medical devices and learn what it takes to build the tools powering AI and clean energy systems.
Educators will also gain a toolkit of classroom-ready resources, including industrydeveloped activities, professional development opportunities and structured pathways to extend learning beyond the event.
A select group of students will tour the SEMICON West show floor, exposing them to the very heart of the global semiconductor industry. And, in an industry where the workforce
of tomorrow begins with inspiration today, it is crucial that students no longer just learn textbook science. Through this experience, they are seeing the invisible world of chips made tangible and being inspired to imagine themselves shaping what's next. SEMIquest is proactively getting students to think about the possibilities early and is providing a launchpad for Arizona’s next generation of engineers, technologists and innovators. —Stephanie Quinn
New Facility Opens for Advanced Manufacturing at West-MEC Campus
Western Maricopa Education Center, known as West-MEC, recently celebrated the completion of its new Advanced Manufacturing and Welding building and Electric Vehicle building addition at its Northeast Campus in Phoenix.
The new 16,500-square-foot Advanced Manufacturing building features an advanced manufacturing lab with an ISO-X cleanroom and industry-standard equipment from companies like Festo, Universal Robots and KUKA. Students in West-MEC’s two-year Advanced Manufacturing, Automation and Robotics program explore new technologies like AI, machine learning and robotic process automation and their impact on manufacturing. A unique feature of the program is the inclusion of cleanroom simulation training to prepare students for work in the semiconductor and manufacturing industries.
The project also includes the addition of a 2,000-square-foot EV bay. The EV bay addition, which has been outfitted to create a cutting-edge teaching facility for EV technology, features a car lift as the facility’s focal point. The EV bay supports
student learning within various instructional areas and allows for first-hand demonstrations.
“By connecting world-class training with industry needs, this new facility ensures WestMEC students are ready to step into high-demand jobs from day one. It’s a win for our students, our partners and Arizona’s economy,” says West-MEC Superintendent Dr. Scott Spurgeon.
The $13.5-million project was designed by Grace Design Studios (formerly GHC-Orcutt Winslow) and constructed by McCarthy Building Companies, Inc. Construction of the campus expansion began in September 2024 and was completed on an aggressive 10-month timeline with support from Grace’s self-certification permitting process and in-house plan review. Subcontractors included Stone Cold Masonry, Progressive Roofing, Pueblo Mechanical and Hawkeye Electric. —Mike Hunter
Grace Design Studios grace-design.com
McCarthy Building Companies, Inc. mccarthy.com
Western Maricopa Education Center west-mec.edu
Photo courtesy of SEMI Foundation
An Economy in the Chips
Arizona is the U.S. Semiconductor epicenter by
RaeAnne Marsh
Thanks to a purposeful focus and our vaunted collaborative environment among economic development organizations that include Arizona Commerce Authority, Greater Phoenix Economic Council and the City of Phoenix Community and Economic Development Department, Arizona stands in the national spotlight as the epicenter of America’s semiconductor resurgence.
ACA reports that Arizona leads the nation in semiconductor investment, supplier expansions and jobs. Since 2020, Arizona has won more than 40 semiconductor expansions, representing more than $102 billion in capital investment and more than 15,700 direct industry jobs. These projects span the entire ecosystem, including manufacturing, advanced packaging, research and development, equipment, supply chain, and workforce development.
Arizona rose to the No. 1 ranking in Business Facilities magazine 2024 state semiconductor rankings, receiving praise for its “(i)nnovations, workforce development,
and announced investments” in the industry. With a growing focus on workforce development, Harvard Business Review recently highlighted Arizona’s pioneering talent training programs — such as the Semiconductor Technician Quick Start program, a 10-day, 40-hour boot camp taught by industry professionals. Since its launch in 2022, the program has trained and certified more than 900 students for careers in the semiconductor industry.
And last year, Governor Hobbs announced new actions to strengthen Arizona’s premier semiconductor talent pipeline. These include the first Registered Apprenticeship Program in Arizona supporting the semiconductor industry and a Future48 Workforce Accelerator, presented in partnership with Maricopa Community Colleges, focused on meeting the needs of Arizona’s rapidly growing semiconductor industry. The Future48 Workforce Accelerators represent innovative collaborations with Arizona’s community colleges to provide customized, industry-led training in Arizona’s fast-growing advanced manufacturing sectors.
Investments across the Semiconductor Ecosystem
R&D AND EQUIPMENT
$300+ million by ASM to expand operations in Scottsdale, with a focus on technology development, research, design and engineering capabilities, and pilot manufacturing capacities
$270 million to create a world-class shared research, development and prototyping facility, and the Materialsto-Fab Center, through an alliance between Arizona State University and Applied Materials, Inc.
$50+ million by Pentagon Technologies to build semiconductor equipment cleaning facility In Mesa.
$28 million by EMD Electronics to expand capacities of its delivery systems & services business in Chandler.
MATERIALS SUPPLIERS
$2 billion by Amkor Technology to build an advanced packaging and test facility in Peoria.
$300 million investment by Chang Chung Arizona to build its first U.S. manufacturing facility, in Casa Grande, to produce electronic-grade hydrogen peroxide, tetramethylammonium hydroxide (TMAH)-based developers, electronic-grade solution and plating solution.
$100 million investment by Sunlit Chemical to build, over two phases, a 900,000-square-foot chemical facility in Phoenix that will produce hydrofluoric acid and other high purity grade essential chemicals vital for semiconductor fabrication.
MANUFACTURING OPERATIONS
Intel – See “CHIPS Act in Arizona,” below TSMC – See “CHIPS Act in Arizona,” below
CHIPS ACT IN ARIZONA
$8.5 billion: CHIPS Act funding announced in March 2024 to support Intel’s $34.5 billion investment in Arizona to date, supporting an additional 3,000 new jobs.
$6.6 billion: CHIPS Act funding announced in April 2024 for TSMC. This, along with TSMC’s plans to build a third semiconductor fab at TSMC Arizona, brings TSMC’s total investment in Arizona to more than $65 billion and creates more than 6,000 total jobs.
ADVANCING SEMICONDUCTOR INNOVATION
The ACA’s investment in workforce development to maximize the support of R&D opportunities under the CHIPS Act includes:
$47.5 million: to ASU, enabling the first-of-its-kind Applied Materials/ASU Materials to Fab Laboratory at ASU’s MacroTechnology Works facility and supporting the development of advanced packaging and GaN capabilities.
$35.5 million: to the University of Arizona, enabling a major expansion of the university’s Micro/Nano Fabrication Center and advancing R&D and industry partnerships. The partnership includes a collaboration with Pima Community College and Central Arizona College to advance training opportunities.
$13 million: to Northern Arizona University to launch the Microelectronics Metrology certificate program, training center, and research laboratory.
$4 million: to establish Registered Apprenticeship Programs for semiconductor technicians.
ON THE MOVE
• Phoenix will rotate every other year with San Francisco as to where SEMICON West will be held, starting in 2025.
• Arizona has attracted nearly $100 billion in semiconductor investment.
• The Arizona Commerce Authority and GPEC were key partners in bringing the event to Phoenix.
• SEMI will present the 2025 SEMI Silicon Medal for the first time during the Phoenix event.
Joe Stockunas Eyes Growth Opportunities for SEMICON West
The SEMI Americas president focuses on attendance, relevance and – in 2025 – on Phoenix by Stephanie Quinn
When Joe Stockunas talks about SEMI, he doesn’t sound like someone running a trade association. He sounds like an industry guy who’s spent decades in the trenches and knows how hard it is to get things done. That’s because he is. Before joining SEMI Americas, Stockunas spent more than 30 years leading businesses at Air Products and Nordson, working directly with customers and navigating global markets.
It’s this background that shapes his approach. He doesn’t talk in abstractions. He talks in numbers, in people, in outcomes. And he’s not afraid to call out the obvious. When asked about moving SEMICON West from San Francisco to Phoenix, he joked that holding a July conference in Arizona would be “an IQ test for the president of SEMI.” The punchline landed, but behind it was a real calculation about risk, opportunity and timing.
SCALING SEMICON WEST
When Stockunas stepped into his role, SEMICON West was already one of the world’s key semiconductor events. His focus wasn’t to just keep it running but to grow it. The pandemic had obviously affected attendance, but by 2022, the show had returned to its pre-COVID levels. Then, under his leadership, 2023 saw 37% growth in attendance. Booths expanded from 740 to 1,500. This year is expected to be the largest exhibition in two decades, with approximately a 25% expansion over 2024.
When asked why people come to SEMICON West, Stockunas emphasized that the numbers weren’t his only concern. He cared about growth, of course, but he also focused on relevance. The answer to this question changes year over year. One year, it’s AI. Another, it’s smart manufacturing. His role, as he sees it, is to make sure the show reflects what’s most urgent for the industry, not what’s most comfortable for SEMI.
AN INDUSTRY AT A CROSSROADS
The semiconductor market is poised to reach $1 trillion around 2030, fueled by AI. That growth sounds inevitable, but Stockunas is quick to remind people it isn’t. “There are things we have to do first to get there,” he says. Workforce development, supply chain resilience, sustainability and geopolitical concerns — none of these solve themselves.
That’s where SEMI steps in. “We’re strongest when we work together across the globe,” he says. It’s a simple idea, but one he repeats often. He’s less interested in declarations of victory than in bringing leaders into the same room to talk about what still needs to be done. It’s why he reshaped the CEO Summit at SEMICON West 2024 to focus on America one day and on global markets the next.
WHY PHOENIX
The decision to bring SEMICON West to Phoenix in 2025 was a defining one. Arizona has become an epicenter of semiconductor investment. Nearly $100 billion in new projects
are landing here. The local ecosystem, state government, industry groups and universities have built a strong foundation. Still, Stockunas knew change would bring nerves. “Folks are nervous. It’s a change. It’s difficult for lots of people,” he admits. His answer was to keep the focus on outcomes. Phoenix had active fabs, suppliers and support from state and regional leaders. That combination gave him confidence.
COLLABORATIVE LEADERSHIP
Stockunas doesn’t frame the move as his victory. He credits partners like the Arizona Commerce Authority and the Greater Phoenix Economic Council. He points to the SEMI Arizona chapter, which has taken a leading role. His style is to shine a light on the ecosystem rather than himself. That’s part of why the decision landed well.
And while he emphasizes planning, he also leaves space for improvisation. He likes to point out how redesigning the show floor to include more space for impromptu meetings ended up being one of the most effective changes. Small details, when shaped by input from members, add up to larger wins.
LESSONS IN STYLE
Stockunas grounds decisions in data. He acknowledges challenges rather than glossing over them. And he trusts networks of people to help carry things forward and across the finish line.
In his world, leadership isn’t about chasing the spotlight. It’s about creating the conditions where others, companies, governments and regions can step in. The success of SEMICON West and the leap to Phoenix show how that style works in practice.
When SEMICON West opens in Phoenix, it will mark the first time in the event’s 55-year history that the show is held outside the San Francisco Bay area. Phoenix Convention Center, October 7–9. semiconwest.org
Sustainable Water Management Starts with Strong Infrastructure
Living in a desert under drought conditions inevitably makes water management a priority for Arizona residents, municipalities and businesses. As Maricopa County continues to see residential and commercial growth, the demand for reliable water and wastewater infrastructure increases. Expansion and growth in the semiconductor industry adds even more pressure to balance supply and use. While water management focuses on policies, conservation strategies and day-to-day operations that help ensure water is used wisely, water system construction focuses on the operational solution — building and upgrading the critical infrastructure that makes water delivery and treatment possible.
Water system contractors play a vital role in transforming engineering plans into functional infrastructure that communities depend on. Their work ensures that clean water is delivered reliably, wastewater is safely removed and systems continue to operate efficiently. These contractors partner or work with public utilities, municipalities, private developers and engineering firms to bring designs to life — building the systems that keep water flowing safely and sustainably. A few types of water infrastructure projects are:
• Water distribution systems: installing new pipelines, service connections, valves and hydrants that deliver safe, dependable water service.
• Wastewater systems: building gravity sewers, force mains, manholes and lift stations to transport and manage wastewater effectively.
• Pump stations and booster systems: constructing facilities that maintain water pressure and keep systems operating smoothly.
• Water Infrastructure Construction Challenges
Construction projects of any kind require coordination and collaboration with multiple parties, which can be challenging. Water infrastructure projects typically involve government entities and representatives, engineers and a construction crew on the
ground. Working in a residential community can require coordination with the HOA, the local residents, utility, city officials and, in some cases, the community developer and/ or property manager.
CLEAR COMMUNICATION
One of the major challenges is clear, consistent communication and planning to ensure everyone understands the parameters of a project and the blueprint for a successful implementation and outcome. Some projects involve private companies spearheading a development or overseeing the management of the water treatment facility upon its completion. Effectively addressing the varied requirements and interests of numerous stakeholders necessitates ongoing strategic and transparent communication. In the case of replacing a community water line, it requires alerting residents living in the community, communicating with the local utility representatives to coordinate the construction plan and making sure there is a thoughtful plan that includes minimum disruption to service.
INVESTMENT IN THE FUTURE
Water infrastructure is an investment in the future and projects must be built to last. Outdated structures or systems operate less efficiently and impact safety and effectiveness. Whether designing and developing a new water or wastewater system, expanding or updating an existing system, or repairing existing pipelines, hiring a skilled and knowledgeable team is imperative. A general contractor knows how to build, but constructing water systems involves more technical knowledge to ensure the design is wellthought-out and the implementation and installation is executed correctly and safely. —Tim Rockholt, co-owner of RS Contracting (www.rs-contracting.com), a Scottsdale-based company that specializes in building and delivering reliable water and wastewater infrastructure systems to communities throughout Arizona
GET REAL
Busch Vacuum Solutions Facility in Tempe
Busch Vacuum Solutions, part of the Busch Group, a global leader in vacuum and overpressure technology, is opening its newest U.S. facility this month: almost 60,000-square-foot Arizona Service Center located in Tempe. This strategic expansion underscores Busch’s continued investment in innovation, customer service and regional growth across North America. —Mike Hunter
Veolia Opens Flagship Water Treatment Center in Scottsdale
Veolia recently opened its first Hubgrade Center in North America, a digital command center that combines human expertise with the power of real-time data and artificial intelligence to deliver top-quality water and wastewater treatment at Veolia-operated facilities across the western United States. This flagship Hubgrade Center in Scottsdale enables communities of any size to benefit from the most advanced digitally enabled water operations in America. —Mike Hunter
TSMC Water Reclamation Plant Aims for 90% Recycling Rate
TSMC Arizona has broken ground and begun construction on a planned 15-acre Industrial Reclamation Water Plant. The IRWP is designed to achieve “Near Zero Liquid Discharge,” which means the semiconductor company will have the ability to reuse nearly every drop of water. At start-up, the IRWP will reach 85% recycling rate with a plan to reach 90% or better. —Mike Hunter
While water management focuses on policies, conservation strategies and day-to-day operations that help ensure water is used wisely, water system construction focuses on building and upgrading the critical infrastructure that makes water delivery and treatment possible.
Multifamily Real Estate Development in the Phoenix Metro Area
The Phoenix Metro Area has always been an attractive market, but interest has surged in recent years due to the diversification of the local economy and the unanticipated impact of the COVID-19 pandemic.
THE EVOLUTION OF THE LANDSCAPE IN PHOENIX
Following the Great Recession, Phoenix made a concerted effort to broaden its economy to become less reliant on construction, government and tourism. Those efforts paid off with significant growth in the semiconductor, technology, healthcare, finance and manufacturing sectors, bringing large numbers of high-paying jobs to the Valley and paving the way for continued growth in the metro area. From 2013 through 2019, Phoenix led the country in metro-to-metro population growth, fueled by affordability and the diversification of our local economy.
This growth sparked a greater need for homes across all real estate markets, with multifamily demand estimated between 10,000 and 12,500 new units annually. However, multifamily developers struggled to keep up with demand. Prior to COVID-19, the Phoenix area averaged around 9,000 multifamily units delivered annually.
COVID-19’S LASTING IMPACT ON THE MARKET
Not only were we not keeping up with the estimated demand, these numbers did not take into account the impact the pandemic would have on the Phoenix market. Because of our softened regulatory approach, relative affordability and increased job growth, the pandemic attracted a lot of new residents to Phoenix.
This boom of new residents created an even larger gap between demand and supply that resulted in decreased vacancy rates and accelerated rent growth, which grabbed the attention of many multifamily developers that were not currently operating in Phoenix. Before COVID-19, fewer than 75 companies were involved in multifamily development in the area. Since the pandemic, that number has grown to more than 225.
Phoenix went from being a hidden gem to what felt like the center of the universe during that period. Due to larger institutional and national players flocking to the metro area, competition for development sites and existing properties grew rapidly, which resulted in higher costs for development and higher sales prices for existing properties. Combined with inflated construction costs created by the pandemic, the price for multifamily units increased dramatically from 2019 through 2022, all of which was supported by lower cap rates, lower interest rates and accelerated rent growth.
The impact of this rush to Phoenix is now being felt. In 2022, Phoenix delivered more than 10,000 multifamily units, a number that was unheard of prior to then. While estimates on the number of units delivered each year varies, by any measurement deliveries have continued to accelerate in recent years, from around 16,000 in 2023 to more than 20,000 in
2024 and an estimated 28,000 or more in 2025. While this has led many to overreact, the reality is that we are absorbing the units being brought online over the last few quarters. There is still a backlog that needs to be worked through, and that backlog has absolutely had a negative impact on rents and created an unusually robust concessionary environment. However, many market indicators are already showing signs of recovery, which will continue over the next 18 months.
FUTURE OF MULTIFAMILY REAL ESTATE
The reality is, Phoenix still has strong fundamentals, including the population growth and job creation mentioned above, which supports a positive long-term outlook for the multifamily market. The industry will likely reach an equilibrium over the next 12 to 18 months, and Phoenix will continue to be part of the spotlight, but there should be a leveling out that occurs naturally in this sector of the market.
Rent prices should return to some level of normalcy and the concessions we are seeing today will likely go away as inventory resolves itself. Competition in this area will continue to elevate industry standards, and we will continue to experience more sophistication in the product. —Justin Steltenpohl, CEO of P.B. Bell (pbbell.com)
From 2013 through 2019, Phoenix led the country in metro-to-metro population growth, fueled by affordability and significant growth in the semiconductor, technology, healthcare, finance and manufacturing sectors that brought large numbers of high-paying jobs to the Valley.
Bob Cappadona is president and CEO of the Environmental Solutions and Services business for Veolia North America, which specializes in the sustainable management of hazardous waste. He has held numerous positions with the company since joining the company in 1991.
Cappadona started his environmental career in 1987 as an environmental, health and safety engineer for the General Electric Company in Somerville, N.J. Two years later, as the EHS manager for GE’s semiconductor manufacturing operations in the United States and Europe, he experienced first-hand the falling of the Berlin Wall and the massive San Francisco earthquake and the environmental issues that ensued.
A graduate of the University of Michigan, Cappadona has completed extensive graduate studies in toxicology at Michigan and environmental health at the University of Medicine and Dentistry of New Jersey. veolianorthamerica.com
Waste Reduction Is Key for the Semiconductor Industry
Arizona expansion is part of ‘Green Up’ strategy for environmental service company Veolia by
Bob Cappadona
It could not be a better time to do business in the Valley of the Sun, where the Phoenix region’s dominance in the microchip semiconductor industry is taking an alreadybooming economy to new levels of growth and opportunity.
Long recognized as a national leader in environmental innovation, the Phoenix region is setting the standard for high-tech manufacturing in the U.S. Because of the Valley’s historically strong track record for managing waste and water, it has emerged as a natural fit for tech giants in the semiconductor industry that are equally committed to environmental responsibility.
That’s why Veolia, the world’s largest environmental service company, recently expanded environmental service operations in Arizona through a combination of acquisitions, investment and organic growth. It is a key part of the company’s global “Green Up” strategy.
Semiconductors have become essential to modern life, found in everything from smartphones to medical devices to AI systems. Around the world, the industry is projected to grow exponentially in the coming decades, with sales in 2024 reaching $627 billion alone. Estimates indicate that momentum will continue, hitting $697 billion in 2025, $1 trillion by 2030 and $2 trillion by 2040.
No region in America has been more impacted by this demand than Greater Phoenix. In recent years, this growth has created more than 33,000 jobs — with thousands more anticipated in the near future — and spurred demand across supporting industries, especially those helping manufacturers meet ambitious sustainability targets.
One of the key environmental topics for the semiconductor industry is waste reduction. Companies like Veolia work with the industry to reduce their waste volume, recycle valuable materials and ensure the waste that can’t be recycled is managed responsibly and sustainably. Our recent acquisition of Chameleon Industries, a highly regarded waste management firm with a strong presence in Arizona that
specializes in supporting the semiconductor industry with chemical recycling and reuse technology, is just one example of the important role Arizona plays in our growth strategy, both in the U.S. and globally.
In September, Veolia’s water business unveiled its first and most advanced North American digital operation center in Scottsdale. The center, called Hubgrade, combines realtime data, advanced AI and Veolia’s industry-leading human expertise to help water and wastewater treatment plants reduce energy consumption, improve chemical efficiency and sludge management — all of which are significant costs for municipalities and their ratepayers. Hubgrade can help cities and towns as well as commercial customers achieve greater operational efficiency and cost-savings, in some cases as much as $30 million over the long-term life of a water treatment plant.
Today’s environmental challenges are indeed complex, not just in Arizona but around the world — but the opportunities are even greater. By minimizing hazardous waste, reducing chemical consumption, reclaiming valuable metals, reducing energy consumption and expanding water reuse, manufacturers can dramatically reduce their environmental footprint. Even small steps — like recycling plastic and wood pallets or reusing packaging — can have an outsized impact. Sustainability doesn’t stop with waste reduction.
In Greater Phoenix and beyond, manufacturers must meet rising regulatory standards and community expectations. Environmental partners like Veolia can be critical assets, helping the business community turn waste into resources; maintain business continuity; and develop cost-effective, safe and compliant strategies.
Phoenix is more than a semiconductor hub — it is a model for how economic development and environmental stewardship can go hand in hand. That’s a vision we share at Veolia and it’s why we are proud to be part of the story of what’s happening in Arizona, providing a guidepost for a more sustainable future at a time when the stakes could not be higher.
Veolia, the world's largest environmental service company, processes 1.8 million tons of industrial waste each year in North America. Founded in 1853, it is the only company of its kind with a
ARIZONA
Arizona is a global hub for emerging technologies and high-tech advancements that are shaping the future. Top companies from aerospace and defense, semiconductors, battery, electric and automated vehicles, AI, medical devices and more are making significant investments throughout the state. With vibrant culture, a business-friendly environment and 300+ days of sunshine every year, it’s easy to see why Arizona is a great place to innovate and scale.
Learn more at azcommerce.com
Semi Insights
ASU Professor Honored for Innovation in 3D Chip Design
Arizona State University’s Krishnendu Chakrabarty, Ph.D., has received the prestigious SRC Innovation Award for a patent that could reshape how nextgeneration semiconductors are built.
The award, presented by the Semiconductor Research Corporation, recognizes patented research that makes a real-world impact. Dr. Chakrabarty’s winning design, U.S. Patent US10444279B2, introduces a new way to test 3D integrated circuits before they’re fully assembled. That means chipmakers can catch problems earlier in the process, improving both reliability and yield.
The technology centers on testing through-silicon vias (TSVs), a critical part of stacking chips vertically to make them faster and more efficient. With this architecture, companies can perform what’s called “pre-bond parametric testing.” That small change makes a significant difference when scaling up to meet the demands of AI and advanced computing.
Dr. Chakrabarty’s work has been widely recognized and adopted in the semiconductor industry, including by companies like Intel, Mentor Graphics, Samsung, TSMC, NXP and Qualcomm.
Dr. Chakrabarty, who holds the Fulton Professorship in ASU’s School of Electrical, Computer and Energy Engineering, is no stranger to big ideas. His career includes nearly 1,000 peer-reviewed papers, almost 30 books and 24 patents. His current research spans AI accelerators, hardware security, microfluidic biochips, and design-for-test solutions for complex systems.
The SRC award was presented at TECHCON, a leading semiconductor research conference. To be eligible, patents must be 5 to 15 years old, actively maintained, and tied to SRC-funded research. It’s a high bar; only a few innovations earn the honor each year.
For Arizona, it’s another sign of local talent shaping the global tech stage. And for the semiconductor industry, it’s one more reason to keep an eye on what’s happening inside ASU’s labs. —Stephanie Quinn
Arizona Leads the Way in Building Resilient Supply Chains
In today's fast-paced global economy, agile and responsive supply networks are crucial for business success. Arizona emerges as a pioneer in supply chain resilience, offering innovative solutions to meet modern challenges, particularly in the semiconductor industry.
Recent global disruptions exposed vulnerabilities in traditional supply chain models. Companies now recognize the need for more flexible and adaptive systems to maintain operations during unexpected events. The semiconductor industry, with its complex supply chain, faces unique challenges and opportunities in this evolving landscape.
STRATEGIES FOR BUILDING RESPONSIVE SUPPLY NETWORKS
Emerging trends in supply chain management include increased automation, artificial intelligence for predictive analytics, and sustainable practices. Arizona positions itself at the forefront of these developments, attracting companies that prioritize innovation in their supply chain strategies. The semiconductor industry, in particular, benefits from these advancements in managing its complex network of suppliers and components.
Technology: Businesses in Arizona leverage technology to create responsive supply networks for real-time visibility. They implement flexible logistics solutions and build strong supplier relationships. These strategies allow companies to adapt quickly to changing market conditions and customer demands, especially critical in the semiconductor sector, where precision and quality are paramount.
Diversifying: Diversifying sources reduces vulnerabilities in supply chains. Over-reliance on single sources poses significant risks, as recent global events demonstrated. Arizona's initiatives to attract diverse suppliers benefit businesses by providing multiple options for sourcing materials and services. This approach is particularly valuable for semiconductor companies dealing with complex components and raw materials.
Strategic Location: Arizona's competitive advantage in supply chain management stems from its strategic location for distribution. The state invests heavily in infrastructure and technology, creating an environment conducive to efficient logistics operations. Collaboration between industry and government further enhances Arizona's appeal as a supply chain hub, especially
for high-tech industries like semiconductors.
Agility: Many local businesses benefit from agile supply chains. For example, a Phoenixbased electronics manufacturer partnered with a logistics provider to implement a just-in-time inventory system with consignment options. This collaboration reduced storage costs, improved production efficiency and maintained financial flexibility.
ARIZONA'S FUTURE AS A SUPPLY CHAIN INNOVATION HUB
As global trade continues to evolve, Arizona's potential as a supply chain hub grows. The state's focus on building resilient and agile networks sets an example for other regions looking to strengthen their economic foundations. For semiconductor companies, this means access to a robust ecosystem of suppliers, technology and expertise.
For Arizona businesses to adapt and thrive, they must embrace key strategies for supply chain resilience. By leveraging technology, diversifying sources and collaborating with logistics experts, companies can build robust supply networks capable of withstanding future challenges. This approach is especially crucial for the semiconductor industry, where supply chain disruptions can have far-reaching consequences.
The future of industrial supply chains in Arizona looks promising, with a focus on transparency, partnership and innovation. As companies navigate the complexities of global trade policies and national security concerns, the state's emphasis on collaboration and adaptability positions it as a leader in building resilient, efficient supply chains for the 21st century. —Samantha Hay, sales and marketing analyst at DSV Inventory Management Solutions (www.dsv.com/en-us/ our-solutions/contract-logistics/inventorymanagement-services)
As global trade continues to evolve, Arizona's focus on building resilient and agile supply chain networks sets an example for other regions looking to strengthen their economic foundations.
WELL, WELL, WELL
From Insight to Action: 3 Moves Employers Can
Make to Support Caregivers
1. Make flexibility real — and manageable. This isn’t a perk. It’s about survival. For family caregivers, control over their schedule (remote work, shift swaps) can mean the difference between staying employed and walking away. In a war for talent, employers should listen to what truly matters to their employees.
2. Go beyond stipends: Offer real care. A stipend doesn’t solve the problem. Caregivers don’t need more things to figure out; they need actual help. Give them access to real care networks, like the one we’ve built through Home Instead. We’ve supported millions of hours of care. What matters most is giving people fast, reliable access to trusted professionals — without unnecessary complexity.
3. Equip managers to lead with empathy. Caregiver stress is often invisible — and too often overlooked. Managers need tools to recognize burnout and offer meaningful support. That’s why we provide a dedicated support line and mental health resources for our caregiving workforce, whom we call Care Pros, because we believe in caring for the caregiver.
Caregiver support isn’t a nice-tohave. It’s infrastructure. As caregiving becomes more common, so does burnout. Companies that build real systems of support will keep their teams intact. Those that don’t? They’ll lose them to competitors. —Seth Sternberg
The Workforce Crisis No One Is Talking About: Why Employers Must Rethink Caregiving Support
There is a workforce crisis hiding in plain sight — one most employers have not yet acknowledged (although the CHIPS and Science Act presaged this with its inclusion of childcare to help the semiconductor industry attract and retain caregivers). It is the growing pressure on employees working their nine-to-five while also serving as primary caregivers for loved ones. I recognized this in my own life a few years ago. My mom picked me up at the airport. She used to get speeding tickets in Montana, which is hard to do. So, when she drove slowly, I knew something had changed. I asked her why, and she said, “Driving is just harder now.” That hit me. I was not just worried about her safety. I started wondering what would come next. What happens when she needs real help? Who will be there? How will I manage that and my job?
That moment sparked something in me. If I was going through this, so were my friends and co-workers. People trying to care for their parents, focus at work, raise kids and protect their own well-being.
Every day, employees are quietly stepping away from jobs they love, not to pursue new roles or personal ventures but to care for aging parents and loved ones. For too long, caregiving has been treated as a private matter. But the data says otherwise. By 2034, adults aged 65 and over will outnumber 18-year-olds in the United States. Over the next 25 years, the population of adults more than 80 years old is projected to triple.
Today, about one in five employees is a caregiver. In fact, nearly 70% of family caregivers report difficulty balancing career and caregiving responsibilities. Left unsupported, this doesn’t just lead to stress, but also burnout, resignations and real productivity loss.
This is no longer a niche problem. It’s a mainstream workforce issue, and employers who don’t adapt are going to lose good people.
Why should this matter to employers? Because when care outside of work is stable, employees stay focused and engaged. But when it’s unpredictable, the ripple effects show up in performance metrics, absenteeism and turnover. Replacing a single employee can cost up to twice their salary.
So let us cut to it. Supporting caregivers is not just a nice-to-have benefit. It is a retention strategy.
This is what compassionate, solution-oriented support looks like for employees now and in the future. When companies invest in professional caregivers as a staff benefit, they are not just helping employees, they are addressing a real workforce challenge.
What should business leaders do? Start by looking at
systems already in place for childcare. Many companies offer flexible schedules, subsidized care, or access to third-party services. It is time to mirror those supports for elder care.
At Honor Technology, our mission is to change how society cares for older adults. We built the largest in-home care network in the western hemisphere to meet this growing need. Through our consumer care brand, Home Instead, we deliver 60 million hours of care each year, creating a foundation that helps families and the employers who support them navigate caregiving with confidence.
The demographic shift is already here. The emotional toll is being felt. Productivity losses are happening: missed meetings, reduced hours, quiet quitting. This is not a distant risk but a present reality for a growing share of the workforce. Yet the opportunity to act is also here. Employers who invest in caregiving support today will earn the loyalty, focus and long-term commitment of their teams tomorrow.
The workforce of the future is aging, and caregiving is becoming one of its defining pressures. The companies that recognize this and build support systems around it will be the ones that lead. Seth Sternberg, cofounder and CEO of Honor Technology (www.honorcare. com) and CEO of Home Instead (care.homeinstead.com)
IS WHAT GIVES US PURPOSE HONOR
Honor is what motivates our team of dedicated healthcare professionals. Through passion and purpose, we come together to ensure every patient is provided with the best possible care. honorhealth.com
AI, Game Play and People Development
“AI-powered simulations now allow people to rehearse tough conversations, practice decision-making and close real skill gaps without fear of embarrassment,” says Trond Aas, CEO of Attensi, the world’s leading provider of game-based solutions for skills and people development, observing that technology is catching up to human psychology.
The problem these simulations address is a widespread but under-acknowledged workforce challenge: skill masking — the act of employees hiding skill gaps to appear more competent. The findings of a recently released study by Attensi suggest that companies may be overlooking a quiet, internal struggle with confidence among workforces that begins during the onboarding process and continues through the employee lifecycle.
According to the study of 2,000 employees across industries and age groups, a majority (58%) say they’ve engaged in skill masking at some point in their current role. Nearly half (46%) admit to pretending to understand tasks they don’t and 40% actively avoid asking for help, even when unsure how to proceed.
This phenomenon, rooted in what the study terms skill-set anxiety, is especially pronounced among younger workers. More than half of employees aged 18–44 report frequent worries about being underqualified, and 29% say this anxiety strongly reflects their experience on the job. Importantly, these feelings take root early: The most common reported consequence of poor onboarding isn’t churn or performance but diminished confidence (55%).
“Too often, success is measured by checklists, not mastery and confidence,” says Aas. “And when employees don’t feel safe learning in person, they mask their gaps rather than close them.” He believes the key for organizations serious about performance is “creating environments where people can safely stop pretending and start progressing.”
The full findings of Attensi’s study offer organizations rich insight into how confidence, safety, and digital tools intersect to shape onboarding and upskilling outcomes. Despite the stigma, most employees (58%) say they would feel comfortable admitting skill gaps to a manager. Even more strikingly, two-thirds (67%) express willingness to use confidential, AI-powered role-play tools to practice and strengthen job-critical skills privately. —Mike Hunter attensi.com
Powering Phoenix’s Tech Growth with Data Infrastructure
Greater Phoenix is climbing fast as one of the nation’s top technology hubs. The region has seen record-breaking job growth in software, semiconductors and AI-driven enterprises. But behind every startup and every Fortune 500 expansion is a basic need that rarely makes headlines: data capacity. Without the infrastructure to store, process and move information, growth stalls.
That is why Arizona’s next wave of competitive advantage lies in data centers. Vermaland’s $33-billion data center industrial park, spanning 3,300 acres between Phoenix and Tucson, is designed to meet that demand. When complete, it will be one of the largest proposed data center developments in the United States.
WHY DATA CENTERS MATTER FOR TECH GROWTH
Every technology company, whether a startup or an established global player, depends on reliable and affordable data center access. The rise of artificial intelligence, machine learning, and high-performance computing has only intensified those needs. The private-sector Stargate initiative, a $500 billion plan announced in January 2025 and endorsed by national leaders, underscores how vital data infrastructure has become.
For Phoenix, that urgency means opportunity. CBRE reports our metro posted a 67% increase in data center inventory in 2024, one of the fastest growth rates in the country. Yet demand still exceeds supply. Local firms often compete with global giants for limited capacity. Building largescale facilities in Arizona ensures that homegrown innovators will not be forced to look elsewhere.
STRATEGIC ADVANTAGES FOR ARIZONA
Arizona is uniquely positioned to lead. Energy costs here remain well below California, a critical factor for power-intensive operations. Vermaland’s project also uses a hybrid system of solar, natural gas, battery storage and grid connectivity, reinforcing the state’s move toward cleaner, more reliable energy. With 16 solar farms already in development across 10,000 acres, Vermaland is tying digital growth directly to renewables.
The site sits in a federally designated Qualified Opportunity Zone, which offers longterm tax incentives for eligible investments. This combination of lower costs, renewable integration and federal benefits makes the Phoenix-Tucson corridor competitive with
Northern Virginia’s “Data Center Alley,” which has long dominated the industry.
ECONOMIC RIPPLE EFFECTS
Data centers are more than servers and switches. They create construction jobs, permanent operations roles and ripple effects across industries. In 2020, Arizona’s data center sector produced $539 million in economic output, supported 2,500 jobs and contributed at least $85 million in state and local tax revenue.
The scale of Vermaland’s project suggests those numbers will rise sharply. For local tech companies, the benefits are tangible: greater access to capacity, predictable costs and the ability to scale in step with global peers. Largescale infrastructure also signals to out-of-state firms that Arizona has the backbone to support long-term innovation.
BUILDING THE FUTURE BACKBONE OF TECH
Phoenix has already proven it can attract leading-edge companies in semiconductors, autonomous vehicles and AI. Sustaining that momentum requires equal investment in the infrastructure these industries rely on. The Vermaland project is about building exactly that foundation.
Looking ahead, the question is no longer whether Arizona will be a tech hub. The real question is whether we will have the capacity to support the companies choosing to grow here. By developing one of the largest data center industrial parks in the country, we are positioning our state to answer with confidence: Yes. —Kuldip Verma, founder and CEO of Vermaland (vermaland.com), a Phoenix-based land development company specializing in solar farms, industrial development and data center infrastructure
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The semiconductor ecosystem brings Arizona front and center
In her Guest Editor Letter for this October edition of In Business Magazine, TSMC Arizona President Rose Castanares cites figures from the Arizona Commerce Authority that Arizona has attracted more than 60 expansions in the semiconductor industry since 2020, representing roughly 25,000 projected new jobs and more than $205 billion in investment — more than any other state. It was 2020 that TSMC added its considerable presence to our business community.
But building economic strength in technology — and semiconductors specifically — had been a focus of our economic development organizations as they worked to break the rollercoaster cycle of our older real-estate-based economy. And Intel has been building this economic sector here for decades.
Semiconductors are, arguably, the economic force of the foreseeable future. Not only as a necessary manufacturing component but for their value to a supply chain spanning, as Castanares says in her letter, “leading-edge manufacturing, R&D, equipment, materials suppliers, advanced packaging, workforce and more.”
On the following pages, we take a close-up look at a few of the companies in our semiconductor ecosystem.
SEMI COMPLETE: The semiconductor ecosystem brings Arizona front and center
Going for the Gold – Electroplating and More where Precision and Compliance Are Non-Negotiable
MEET C-HAWK TECHNOLOGY
by Chase Zunino, CEO
C-Hawk Technology, a global leader in complex manufacturing solutions, delivers industryleading gold plating through its Arizona-based subsidiary, Gold Tech Industries. The company has supported the semiconductor industry since 1984. It specializes in precision gold plating for multicomponent assemblies used to produce silicon wafers, the base material for nearly all semiconductor devices. GTI’s proprietary gold plating process has set new standards for quality, consistency and performance in epitaxial manufacturing.
Epitaxial manufacturing takes place when silicon wafers are prepared for chipmaking. Gold plating is a key feature of metal components used in specific semiconductor capital equipment, allowing for uniform heating and reflectivity
throughout a semiconductor chamber. It also protects the equipment, enhancing the performance and durability of components. GTI’s products have a direct effect on the silicon wafer and are critical to its overall yield and performance, plating aluminum, brass and copper substrates for the epitaxy market.
So how does electroplating work? In semiconductor production, reliability often depends on the most minor details. One example is gold plating. The process begins with precision manufacturing and polishing of components to achieve a mirror-like surface. After cleaning, a nickel layer is applied, followed by a uniform gold layer through electroplating. Each component then undergoes strict quality control, including X-ray fluorescence testing, to ensure consistency, durability and optimal performance. This step improves equipment reliability and boosts yield and energy efficiency, two critical measures in chip production.
LOOKING FORWARD
C-Hawk Technology, which operates in seven factories across five countries, brings broader capabilities to its Arizona and global customers through its other divisions. Its offerings encompass complex assemblies, modules and complete tool builds, surface treatment processes, engineered plastics, and ultra-highpurity (UHP) welding for both the semiconductor and health imaging sectors. In these industries, precision and compliance are non-negotiable. Cleanliness and quality are prioritized by
AT A GLANCE
Company name: C-Hawk Technology
Headquarters: Hayward, California
Did you benefit from the CHIPS Act? No
Number of employees in Arizona / globally: 52 / 1010
Years in Arizona: More than 40 years (since 1984)
What vertical(s) do you specialize in?
Semiconductor, Health Imaging
How do you fit into the semiconductor ecosystem? Precision manufacturing of polymer components and assemblies, surface technologies, system integration, and gas delivery.
operating in cleanrooms and following industry standards to avoid defects and contamination that could impact a product’s performance. With its manufacturing facility in Tempe, the company supports a local supply chain, which enables reduced cycle times, logistics and tariff costs while strengthening Arizona’s position as a true manufacturing base.
Arizona is very well-positioned for growth, and the ecosystem is on an upward trajectory. Demand for gold plating and our broader offerings — which range from engineering services to fabrication, plating, plastic forming, welding, precision machining and other services needed to manufacture the advanced technology that enriches our lives — will continue to grow. c-hawk.com
Photos courtesy of C-Hawk Technology
Global Heritage Meets Deep Scientific Expertise, Driving Semiconductor Innovation Worldwide
MEET EMD ELECTRONICS , the North America Electronics business of Merck KGaA, Darmstadt, Germany
by Katherine Dei Cas, Executive Vice President, Global Head of Delivery Systems & Services and Specialty Gases
EMD Electronics is the Electronics business of Merck KGaA, Darmstadt, Germany, operating in the United States and Canada. The company distinguishes itself in the semiconductor industry through a unique combination of global heritage, deep scientific expertise and a customer-centric approach that few competitors can match. As part of Merck KGaA, a family-owned company with a remarkable 355-year history, EMD Electronics benefits from the stability, innovation legacy and global resources of one of the world’s oldest and most respected science and technology enterprises.
A trusted partner across the value chain, our company offers one of the most comprehensive portfolios of high-tech materials and materialrelated solutions for the semiconductor industry, from specialty gases and deposition materials to planarization and patterning chemistries. We also provide advanced display materials such as liquid crystals and OLEDs.
With our Materials Intelligence™ solutions — which integrate our broad materials expertise with advanced analytics, AI and deep scientific insight — we accelerate chip innovation to overcome complex technical challenges.
Simply put, our offerings go far beyond the solutions that solve today’s toughest challenges: We deliver trusted partnerships, innovation rooted in centuries of science, and a forwardlooking vision backed by one of the world’s most esteemed technology leaders.
Our semiconductor solutions empower wafer processing at every critical step of the value chain, shaping the future of computing. We manufacture advanced materials with high tolerances, ensuring
seamless integration into our customers’ processes.
Our Optronics business combines advanced chemistry, optics, display and semiconductor technology to meet the demands for immersive digital experiences, advanced computing, high-speed data transmission and improved energy efficiency.
Our solutions drive future technologies, including energy-efficient AI data centers, fully immersive AR/VR experiences, low-energy neuromorphic computing and revolutionary quantum computing.
Our chemistry, physics and materials science are industry-leading and can be found inside almost every device. There is a 99% chance that any device containing a semiconductor — from the cell phone in your pocket to the world's largest supercomputers — was made with our materials.
LOOKING FORWARD
Arizona has solidified its position as a key player in the semiconductor sector, renowned for cuttingedge technology and a robust industry presence. That said, the rapid pace of technology change and evolving job market demands has led to a talent shortage, with many critical roles unfilled. With more than 100 years of presence in the United States, EMD Electronics has deep relationships with leading companies, research institutions and industry partners that are tackling this challenge head on.
AT A GLANCE
Company name: EMD Electronics, the North America Electronics business of Merck KGaA, Darmstadt, Germany
Headquarters: Darmstadt, Germany
Number of employees in U.S. / globally: 2,000+ / 7,000+
Years in Arizona: Nearly 20 years
Did you benefit from the CHIPS Act?
The semiconductor industry in the U.S. is benefitting from the CHIPS Act. And as a key supplier, we appreciate the stimulus for this important part of the economy. We as EMD Electronics already decided in 2021 to invest more than $1 billion in the U.S. prior and independent to the CHIPS and Science Act and we have since delivered on that commitment. Although we did not seek funding ourselves, we fully support our customers who have entered agreements through the CHIPS Act. This approach reflects our ongoing investment strategy and strong commitment to the U.S. market — where we continue to drive innovation, support the growth of the semiconductor industry and contribute to the broader technology ecosystem.
What vertical(s) do you specialize in?
Semiconductor manufacturing
How do you fit into the semiconductor ecosystem? Our company offers one of the broadest portfolios of innovation-critical materials and materials-related solutions for the semiconductor and optoelectronics industries — as detailed above.
From our Tempe and Chandler campuses to our global footprint, we are united by one mission: to create technologies that make modern life possible, all while building a workplace where everyone can belong, grow and thrive. We proudly collaborate with local schools, nonprofits and workforce development organizations to create lasting impact. In Arizona specifically, where our presence continues to grow, we launched and sponsored the “Chip in for Arizona” competition, a statewide competition designed to encourage college students to imagine what the future of the semiconductor industry in the state could look like. The competition sparked enthusiasm for science and technology, exposed students to real-world branding applications in the field, and demonstrated our belief that the next generation of talent must be nurtured today. emdgroup.com/en/expertise/electronics.html
SEMI COMPLETE:
The semiconductor ecosystem brings Arizona front and center
Non-Volatile Memory Technology Eliminates the Need for Backup Components
MEET EVERSPIN TECHNOLOGIES, INC.
by David Schrenk, Vice President of Business Development
Memory technologies are a foundational component of the semiconductor ecosystem, enabling processors and systems to store and access data quickly and reliably. As devices become smarter and more connected, the demand is growing for high-performing memory that optimizes a system’s ability to perform efficiently, retain critical information and respond in real time. Headquartered in Chandler, Arizona, Everspin Technologies, Inc. is the world’s leading provider of Magnetoresistive Random-Access Memory (MRAM), the memory solution delivering an unmatched combination of speed, durability and energy efficiency.
MRAM is a compelling alternative to traditional memory technologies such as SRAM, DRAM and NOR flash. MRAM is non-volatile, meaning it retains data even when power is lost. While SRAM requires continuous power to retain data and is often backed by batteries that degrade over time, MRAM eliminates the need for backup components. Once data is written to MRAM, it remains securely stored without consuming additional power, reducing both system complexity and energy costs.
Everspin’s EMxxLX product family can deliver write speeds 500 times faster than NOR Flash, making it ideal for over-the-air (OTA) updates for edge computing and edge AI, where devices
must process data from sensors in real time without sacrificing performance or reliability. This advantage is also ideal for aerospace and defense applications that need fast, reliable data transmissions.
Moreover, aerospace systems often operate in extreme environments with fluctuating conditions and radiation exposure. MRAM offers radiation tolerance, wide temperature range support and superior endurance. Unlike DRAM and flash, which store data as electrical charges and are susceptible to radiation-induced errors, MRAM stores data using magnetic states, ensuring higher reliability in space and aerospace systems.
LOOKING FORWARD
Everspin is the only U.S. domestic supplier of MRAM products, which have been widely used across industrial IoT, automotive, medical, aerospace, casino gaming and defense markets. By offering scalable and robust memory solutions that meet the demanding requirements of these industries, Everspin is addressing a growing need for persistent, fast and durable memory.
Everspin’s success is also a testament to Arizona’s thriving semiconductor industry. With its corporate office and core operations based in Chandler, Everspin is part of a
How do you fit into the semiconductor ecosystem? Data storage (MRAM)
dynamic tech corridor that includes aerospace manufacturers, defense contractors and next-generation semiconductor companies. Arizona’s aerospace and defense sector is a powerful engine for the state’s economy, supporting more than 66,000 jobs and contributing nearly $9 billion annually. The state ranks eighth in the nation in per-capita Department of Defense funding, and its aerospace sector is growing faster than the national average. As part of this ecosystem, Everspin not only brings high-value manufacturing and engineering jobs to Arizona but also strengthens the state’s reputation as a hub for advanced technology and innovation. everspin.com
Photo courtesy of Everspin Technologies
Protecting Innovation in Arizona’s Semiconductor Industry
MEET FOAM PACKAGING SPECIALTIES
by Chris Perry, President and CEO
As SEMICON® West 2025 showcases semiconductor innovations, Foam Packaging Specialties® protects them. Often, essential innovation happens behind the scenes, and packaging and shipping play a key role. Protecting critical components, supporting efficient production and helping Arizona maintain its role as a leading semiconductor hub are key.
Founded initially to support packaging and shipping for Motorola®, the company has grown alongside Arizona’s booming semiconductor industry, carving out a niche as a trusted provider of precision packaging. Foam Packaging Specialties® invested early in cleanroomcertified facilities, allowing it to protect sensitive devices during manufacturing, storage and shipping. The company’s certified ISO 7, class 10,000 cleanroom ensures every component stays free from dust and contaminants.
Since 1972, a skilled workforce of 50 employees has specialized in semiconductor device protection, electronics packaging and warehouse supplies, including stretch wrap, roll foam and edge guard. Every step of the process, from
design to delivery, is built around safeguarding components and keeping production moving.
Advanced equipment — including CNC knife cutters, routers, and a 5-axis water jet — allows the team to design and produce highly precise packaging. And with mobile 3D scanning, clients can have product packaging dimensioned on-site at their facility.
LOOKING FORWARD
As Arizona’s semiconductor industry continues to expand, so too has the demand for the specialized packaging solutions Foam Packaging Specialties® provides. This growth has fueled the company’s own local expansion, creating new jobs, strengthening relationships with local suppliers and broadening its service offerings. By ensuring delicate semiconductor components move safely through the supply chain, Foam Packaging Specialties not only supports its customers’ success but also contributes to Arizona’s competitiveness as a global leader in advanced manufacturing. foampackspec.com
AT A GLANCE
Company name: Foam Packaging Specialties
Headquarters: Phoenix, Arizona
Number of employees: 50
Years in Arizona : 53
Did you benefit from the CHIPS Act? No
What vertical(s) do you specialize in?
Shipping
How do you fit into the semiconductor ecosystem? At Foam Packaging Specialties, we provide pre-cleaned protective packaging for semiconductor components as they move through each stage of the chip manufacturing process. We also supply pre-cleaned protective packaging for the OEM machine components used by these manufacturers. Our role is to protect both the semiconductor components and the machine parts that may need replacement, ensuring quality and reliability throughout the manufacturing lifecycle.
SEMI COMPLETE:
The semiconductor ecosystem brings Arizona front and center
Building the Tools Behind the Chips: How Tempe’s Foresight Fuels a Global Industry
MEET FORESIGHT TECHNOLOGIES
by Jeff Hull, CEO
Starting as a precision aerospace machine shop in 1995, Foresight Technologies has since evolved into the global leader in highpurity chemical component and system manufacturing for semiconductor equipment. In its 165,000-square-foot production site in Tempe, Ariz., a team of more than 350 skilled team members, 100 of whom are certified plastic welders, have access to 60 CNC (Computer Numerical Control) machine tools and full Class 1,000 and 10,000 cleanroom assembly operations. In 2024, Foresight completed the addition of a 100,000-square-foot “Center of Excellence” for chemical equipment production to accommodate new customer demands in the U.S., as well as to provide local, barrier-free production for international manufacturers supporting the heightened U.S. demand.
Foresight’s core customers are among the top five semiconductor original equipment manufacturers, the companies that make the tools used to manufacture chips. Vertically integrated in the production of chemical equipment, Foresight is the global leader in precision fabrication of plastics through CNC machining, plastic welding, high-purity fusion bonding, plumbing and complete build of customer modules, subsystems and turnkey chemical distribution equipment. The company drives process improvements through standardization and optimization of each process
in the supply chain. Foresight uses custom, plastic welding systems it designs in-house, allowing highly repeatable weld quality and standardization of plastic machining systems, eliminating almost all machine setup while also offering unique processes such as robotic deburring and hot plate welding. These systems enable the manufacture of high-quality products at a lower cost.
Foresight’s global footprint goes far beyond Arizona, as the company opened its Asia Pacific operation, located in Penang, Malaysia, in 2010. The Penang site has grown rapidly to support the most advanced technology customers in the Asia region. The custom-built 110,000-square-foot manufacturing campus will expand again this year, bringing the Malaysia footprint to nearly 200,000 square feet of space dedicated to producing parts and equipment for its Asia-based customers. With over 300 production staff, 60 CNCs, highpurity plumbing, fusion bonding and subsystem integration, Foresight’s Asia Pacific operation adds significant value for its customers worldwide.
Between its two locations, the company has experienced organic growth of more than 50% a year, which can be attributed to its superior quality, engineering and higher efficiency that allow it to remain competitive globally.
LOOKING FORWARD
The company is also expanding its services, launching Foresight On-Site LLC, a new offering comprised of on-site semiconductor fab construction and infrastructure installation services. This includes C4-licensed pipefitting services for fabs and high-tech customers needing high-purity tool connections, tank and chemical interconnects, drain systems, plastic containment and more. The Foresight team works directly with fabs, general contractors and others to bring its supply chain expertise and unique skills to new and existing facilities. With the largest number of highly skilled welders, pipe fusion bonders and semiconductor plumbing experts on its full-time staff, Foresight OnSite can meet the growing demand for new semiconductor fab construction.
As part of its new service offerings, the
AT A GLANCE
Company name: Foresight Technologies
Headquarters: Tempe, Arizona
Number of employees in Arizona / globally: 350 / 700
Years in Arizona: Since 1995
Did you benefit from the CHIPS Act? No
What vertical(s) do you specialize in?
Foresight is vertically integrated in the production of chemical equipment. It is the global leader in plastic CNC machining, plastic welding, high-purity fusion bonding, plumbing and complete system builds.
How do you fit into the semiconductor ecosystem? Foresight Technologies fills a unique role for high-purity fab infrastructure because it can bring hundreds of highly trained and skilled staff to support on-site projects. It also brings its unique capabilities to overseas equipment suppliers to provide local manufacturing and support for its global customers.
Computer Numerical Control (CNC) machining is a manufacturing process in which pre-programmed computer software dictates the movement of factory tools and machinery. The process can be used to control a range of complex machinery, from grinders and lathes to mills and CNC routers.
company provides prefabricated system delivery, using its in-house manufacturing lines to complete up to 35% of installations off-site, reducing labor and installation time, while improving project speed and quality. A full range of basic chemical distribution equipment is also available, including valve manifold boxes, chemical distribution systems, drum distribution units, and many more, providing low-cost options to fab designers.
Foresight’s approach to design, production and installation of high-quality fab infrastructure is making a significant impact on Arizona’s fastgrowing semiconductor ecosystem, successfully meeting growing demand for fast and lower-cost fab builds. foresighttech.com
Photo courtesy of Foresight Technologies
Decades of Leadership Making Chips, Jobs and Strong Community
MEET INTEL
by Zivit Katz-tsameret, Vice President of Intel Foundry, OTF Fab Manager in Arizona
Intel is a global leader in semiconductor design and manufacturing. For more than five decades, Intel has been at the heart of innovation in computing, enabling advances across personal computers, data centers, networking and, now, artificial intelligence. Today, Intel delivers leading-edge process and packaging technology while also providing customers with a resilient, secure and geographically balanced supply chain.
We play a critical role in the semiconductor ecosystem, providing the advanced processors that power everything from PCs to the world’s largest data centers and are enabling the next wave of innovation in AI, networking and cloud computing. Intel also serves as a critical partner to governments, research institutions and technology leaders worldwide. Our work is anchored by a mission to deliver predictable execution, enable system-level innovation and support the growth of a more secure and sustainable global semiconductor industry.
LOOKING FORWARD
Intel has operated in Arizona for more than four decades, and has built it into the largest highvolume manufacturing hub in the U.S. Our Ocotillo
campus focuses on high-volume manufacturing, while our Chandler campus is home to some of Intel’s most innovative advanced packaging technology development, including an assembly test technology development and a substrate packaging technology development factory.
We are now in the final stages of completing Fab 52 at its Ocotillo campus, one of the largest private-sector investments in Arizona’s history. Fab 52 will produce leading-edge semiconductors on Intel’s most advanced process technologies, and its opening marks a pivotal step in Intel’s strategy to regain process leadership, expand foundry capacity and strengthen geographically balanced supply chains. Fab 52 reflects our commitment to U.S. manufacturing leadership and bolsters Arizona’s position as a center of global semiconductor manufacturing.
Our economic impact in Arizona is substantial, supporting tens of thousands of additional jobs through suppliers, contractors and service providers. We are working to strengthen the surrounding ecosystem of businesses and services while creating long-term opportunities for Arizona’s workforce.
Intel is equally committed to building the
AT A GLANCE
Headquarters: Santa Clara, California
Years in Arizona: Since 1979
Did you benefit from the CHIPS Act? Yes. Intel has been awarded CHIPS Act funding to expand U.S. semiconductor manufacturing, including support for our Arizona presence. What vertical(s) do you specialize in? Intel serves end markets that include compute, data centers, AI and government applications. How do you fit into the semiconductor ecosystem? Intel is the only U.S.-based company that researches, develops, designs and manufactures leading-edge logic chips at scale. We play a central role in securing supply chains and enabling innovation across the AI era.
next generation of talent. We partner closely with Arizona State University, Maricopa Community Colleges and local K–12 schools to expand STEM education and build a strong pipeline of skilled workers. As demand for AI, data centers and computing continues to increase, Arizona’s semiconductor ecosystem is well positioned for sustained growth, with Intel’s presence serving as a cornerstone of the state’s economy.
Construction equipment prepares the site for two new chip factories at Intel Corporation's Ocotillo campus in Chandler, Arizona, in September 2021; the site will be home to Intel Fab 52 and Fab 62, and the project price tag of $20 billion constitutes the largest private-sector investment in Arizona history
Ocotilla Fab
of Intel Corporation
SEMI COMPLETE:
The semiconductor ecosystem brings Arizona front and center
How Contractors Are Supporting the Semiconductor Surge with Highly Specialized Precision Work
MEET NOX GROUP
by Greg Ayres, President and COO
In semiconductor construction, much of the attention goes to the size of the fabs or the dollar value of investment. But the real complexity lies in what happens after the walls go up: installing the advanced tools that manufacture the chips themselves. The tool install phase demands an extraordinary level of precision — microns of tolerance within ultra-clean environments. It’s one of the most specialized pieces of the construction puzzle, requiring deep technical expertise very few contractors possess, especially when it comes to building in UV environments.
Industrial contractor Nox Group has been involved in this work for decades, primarily through the enterprise’s electrical subcontractor, Corbins — witnessing the ebbs and flows of the Arizona and greater southwestern semiconductor market. Now, as the region takes center stage in the global chip race, contractors need to scale rapidly to deliver historic industrial growth while also meeting strict deadlines and navigating resource constraints.
U.S. PRODUCTION FUELS MOMENTUM
Arizona has long been home to major chipmakers, but activity has risen and fallen with global market forces. In recent years, as global supply chain disruptions and geopolitical concerns mounted, the pendulum began to swing back toward U.S. production. Federal incentives through the CHIPS Act reinforced that momentum, encouraging companies to expand manufacturing stateside.
The past few months alone have seen a notable increase in conversations around new fabs and tool-install programs — some involving international manufacturers evaluating Arizona as a strategic U.S base. Their interest goes beyond compliance and the state’s business-favorable conditions — it’s driven by competitiveness. Building advanced chips requires proximity to other critical assets: research hubs, skilled labor and reliable infrastructure. Arizona checks the boxes.
DATA CENTERS SPUR SEMICONDUCTOR GROWTH
One of the strongest forces behind semiconductor expansion is data center growth. Every new hyperscale facility fuels demand for faster, more powerful chips. That connection creates a reinforcing cycle: As data storage and processing capacity increase, so does the need for semiconductors to handle the workload.
In practical terms, that means more fabs — and more highly specialized construction activity. It also means heightened competition for resources, from workforce to power to water. For those on the ground, it’s an “all boats rise” moment, with semiconductor, data center and other industrial projects advancing together.
LOOKING FORWARD
The surge in advanced manufacturing is already impacting Arizona’s economy well beyond construction. These projects bring high-paying trade jobs and long-term career opportunities, but they also introduce new challenges: ensuring adequate power and water, scaling workforce pipelines amid a historic construction labor shortage and balancing speed with sustainability. From a contractor’s perspective, one of the
AT A GLANCE
Company name: Nox Group
Headquarters: Phoenix, Arizona
Number of Employees: 1,898
Years in Arizona: 50
Annual Revenue: $445 million
Did you benefit from the CHIPS Act? Indirectly (industry momentum)
What vertical(s) do you specialize in? Mission-critical infrastructure (semiconductors, data centers, water/ wastewater); Nox Group is a large-scale industrial construction company focused on mission-critical infrastructure, including semiconductor facilities, data centers and water/wastewater treatment plants, in Arizona and across the U.S.
How do you fit into the semiconductor ecosystem? Electrical contractor with expertise in tool installation for semiconductor fabs
biggest considerations is manpower. Tool install is not entry-level work; it requires highly trained crews who understand the precision and protocols of semiconductor environments. Scaling that expertise while maintaining safety and quality will be critical if Arizona is going to keep pace with the level of investment that’s being signaled today.
Even more, lean methods and digital construction tools have proven essential to navigating workforce challenges. Building information modeling, for example, allows teams to visualize every element of a project before work begins, catching potential conflicts early before tradespeople have boots on the ground. This is beneficial for both efficiency and safety, ensuring workers aren’t needlessly sent into harm’s way while also anticipating project roadblocks.
The coming years will test how quickly industry and state infrastructure can respond. For those of us who have worked in this space for decades, the next chapter feels bigger and faster than anything we’ve seen before, and its success will depend on planning, collaboration and a shared commitment to doing the work right. noxgroup.us
Photo courtesy of Nox Group
Changing How Power Is Delivered at Scale and Helping Bolster the Domestic Semiconductor Supply Chain
MEET SARAS MICRO DEVICES, INC.
by Eelco Bergman, Chief Business Officer
The explosive growth of AI data centers is transforming the semiconductor industry while at the same time raising significant concerns about power consumption. As designers strive to create more powerful integrated devices that keep pace with performance demands, traditional power management architectures are starting to reveal their limitations. Embeddable passive components are in high demand, as next-generation systems require more efficient, compact and reliable power delivery within the package.
This is where Saras Micro Devices comes into play. Founded in 2021 and expanded its operations in 2023 by establishing a headquarters and manufacturing Center of Excellence in Chandler, Ariz., Saras is redefining how power is delivered to high-performance computing (HPC), AI and advanced networking applications. The company develops package-integrated power delivery solutions designed to support the next wave of growth in AI, autonomous systems, 5G/6G communications, virtual reality and cloud infrastructure.
At the center of Saras’ innovation is its STILE™ (or SarasTILE), an embeddable passive module solution that directly addresses the need for tightly integrated power delivery, capable of providing high power efficiently and enabling increased performance per watt. Unlike traditional lateral power delivery approaches, Saras’ STILE solution is uniquely positioned to address this challenge, with its ability to combine high capacitive density, 3D pass-through interconnect and design configurability to enable the transition needed for next-generation vertical power delivery architectures.
This shift marks a real change in how power is delivered at scale. For AI and HPC applications, where workloads are intensive and demand highly stable power, STILE offers a compelling alternative. Saras manufactures its components domestically at its Chandler facility and collaborates closely with partners across the semiconductor supply chain. Its embedded passive modules are integrated directly into advanced substrates and PCBs by OSATs (outsourced semiconductor assembly and test providers), who then package the devices on behalf of top-tier IC makers working with wafer foundries. This collaborative approach ensures Saras’
technology meets the real-world requirements of today’s chip design and manufacturing environments. The company works hand-in-hand with suppliers and end customers to tailor each STILE configuration, reducing complexity while improving system performance and integration.
LOOKING FORWARD
Saras Micro Devices is also involved in two highimpact semiconductor research projects, each awarded $100 million under the U.S. Department of Commerce CHIPS National Advanced Packaging Manufacturing Program (NAPMP). Through these efforts, led by Arizona State University and Deca Technologies for SHIELD USA, and by Absolics for SMART, Saras is helping to advance chiplet integration, improve power efficiency and bolster the domestic semiconductor supply chain.
In both projects, Saras is contributing its STILE technology as a foundational element in developing scalable, high-volume advanced packaging solutions. These collaborations are designed to support U.S. economic resilience and national security by enabling innovation in substrate materials, manufacturing equipment and heterogeneous integration.
Over the past few years, Saras secured eight foundational patents for its capacitor and STILE technologies from the United States Patent Trademark Office. This achievement underscores the company’s commitment to innovating critical solutions in power delivery for next-generation AI and HPC devices.
Saras’ work in Arizona, through its manufacturing presence, research collaborations and supply chain partnerships, anchors it firmly in the midst of one of the state’s biggest economic currents: the power demand associated with semiconductors and data centers. Arizona has become a magnet for both, and, as those projects scale, the need for more efficient power delivery only intensifies.
But this trend isn’t confined to Arizona. This common challenge is one the entire semiconductor industry around the world is grappling with. What’s happening here is a local reflection of a global issue, and Saras Micro Devices' ecosystem grows stronger by being part of that larger conversation. sarasmicro.com
AT A GLANCE
Company name: Saras Micro Devices
Headquarters: Chandler, Arizona
Number of employees: 50 employees overall, with 27 employees in Chandler. Chandler will be our primary growth site and we expect the number of employees to double within the next year.
Years in Arizona: Since 2023; Saras’ grand opening of its new Chandler HQ and manufacturing site was in January 2024. Annual revenue: Saras is an emerging company and is pre-revenue.
Did you benefit from the CHIPS Act? Yes, Saras is involved with two CHIPS Act advanced substrate development projects. What vertical(s) do you specialize in? Advanced packaging — enabling embedded in/on-package power conversion and delivery. How do you fit into the semiconductor ecosystem? Saras Micro Devices is an integrated passive component supplier to semiconductor, package substrate and/ or device packaging companies that design and manufacture the leading processors and accelerators powering AI.
SEMI COMPLETE:
The semiconductor ecosystem brings Arizona front and center
Sustainable, Locally Manufactured Energy Storage to Advance Arizona’s Semiconductor Growth
MEET SORBIFORCE, INC.
by Serhii Kaminskyi, Founder and CEO
With multibillion-dollar semiconductor manufacturing facilities rising across the state and a deep supplier base taking root, Arizona has become one of the country’s fastest growing semiconductor hubs. As that footprint expands under the CHIPS and Science Act, reliable, stable power is now mission critical for around-the-clock manufacturing. Meanwhile, Wood Mackenzie estimates $1.2 trillion in global battery storage investment will be needed through 2034 to support renewable buildout — underscoring the need for reliable storage in advanced manufacturing. SorbiForce is ready to help power that momentum. Founded three years ago, the Scottsdale-based startup is unveiling the world’s first sustainable, non-metal battery architecture sourced from local, renewable materials. This early-stage breakthrough gives investors an opportunity to explore a whole new way of keeping high-demand facilities uninterrupted, cost-efficient and safe. In plain terms, SorbiForce’s chemistry avoids critical and potentially hazardous metals (eliminating risks commonly associated with energy storage), relies on abundant inputs and is engineered for recyclability — a first in the industry. In practice, what sets it apart for semiconductor manufacturing facilities is efficiency at scale. The architecture acts like a power “volatility absorber,” reacting in milliseconds to volatile loads to maintain stable power quality and higher utilization, with a very low cost per cycle compared to lithium-
ion. It prevents thermal runaway and the safety engineering burdens that come with conventional chemistries. These points matter when uptime and total cost of ownership drive decisions.
For Arizona’s semiconductor ecosystem, that adds up to practical infrastructure: stable, clean power quality around-the-clock; protected equipment; and more predictable operating costs. In short, SorbiForce is an essential enabler of CHIPS-driven semiconductor growth in Arizona. As CHIPS investments add capacity across the state and the country, power stability is mission critical, and SorbiForce provides storage that keeps production running and expansion on schedule.
LOOKING FORWARD
Beyond performance, the company is building in-state, using local, renewable materials. Pilot production is active, and SorbiForce is advancing an autonomous, containerized U.S. micro-factory model that can be deployed quickly near points of need, manufacturing as a service with simple, local inputs. About half the equipment for the first factory has already been secured, with a stepwise scale-up plan. As production ramps, pilot-ready capacity launching in Arizona positions SorbiForce to expand local manufacturing activity.
Right now, Arizona is a magnet for advanced manufacturing and clean-energy innovation. SorbiForce strengthens that ecosystem by
AT A GLANCE
Company name: SorbiForce, Inc.
Headquarters: Scottsdale, Ariz.
Number of employees in Arizona / overall: 2 / 12
Years in Arizona: 3
Annual revenue: Pre-revenue
Did you benefit from the CHIPS Act? Yes. Our technology provides the essential energy infrastructure required for the expansion of semiconductor manufacturing facilities enabled by the CHIPS Act. What vertical(s) do you specialize in? Advanced Energy Storage, Grid Stability Solutions
How do you fit into the semiconductor ecosystem: Enabling reliable power infrastructure for high-demand manufacturing and data centers.
developing local supply and storage capabilities that help semiconductor manufacturing facilities scale with confidence. Company leadership has reported early market interest, letters of intent and utility-side engagement, reflecting demand for storage that is safe, responsive and made from U.S.-sourced inputs.
Why does this matter for investors? Demand is large and growing, with global sales projected to reach $760.7 billion by 2026. SorbiForce leads with efficiency and cost, scales quickly with U.S. manufacturing, and adds proven safety and sustainability. The company is preparing a PreSeries A to fund pilots, certification and its first micro-factory run — timed to support CHIPSdriven expansion.
Near-term priorities include completing the first micro-factory run, expanding pilot deployments in Arizona with semiconductor manufacturers and data center operators, and continuing work with utility partners. No doubt, these steps make the system easier to deploy and build local capacity aligned with the state’s expansion. For investors, it’s an opportunity to back critical infrastructure with defined use cases, partners and a clear path to scale. sorbiforce.com
courtesy of SorbiForce
Photo
High-Volume Chip Producer TSMC Arizona: An Economic Engine for the State
MEET TSMC ARIZONA
by Rose Castanares, President
Arizona, once defined by the five C’s — Cotton, Citrus, Copper, Cattle and Climate — is now bolstered by another “C”: chips. And you cannot make microchips without semiconductors.
Our state has become the hub for the burgeoning semiconductor industry, ranking No. 1 in the U.S. for semiconductor activity in 2025 by Business Facilities magazine and among the top three states in the nation for manufacturing growth in 2024 by Lightcast, a global labor market data and analytics company.
None of this happened by accident. Instead, the rise of Arizona’s semiconductor industry dates back to the 1940s when Motorola established a semiconductor division in Greater Phoenix. Since then — and thanks to thoughtful planning and the vision of business, public policy and economic development leaders — the semiconductor industry has funneled billions of dollars in capital investment into our state’s economy.
Such activity set the stage for the next phase of semiconductor development with the arrival of TSMC Arizona.
In 2020, realizing the rising demand for semiconductor chips, as well as an opportunity to serve our valued American customers, TSMC announced its foray into the United States with a leading-edge fab in north Phoenix.
Founded in Hsinchu, Taiwan, in 1987, TSMC pioneered the pure-play foundry business model. Today, the company is the world’s leading semiconductor foundry, powering nearly 12,000 products — from smartphones and electric vehicles to AI systems and aerospace technologies. Initially, TSMC invested $12 billion in its 1,100acre north Phoenix site, but that has grown to $165 billion, representing the largest foreign direct investment in U.S. history.
Our first Arizona fab successfully entered
high-volume production in the fourth quarter of 2024, employing N4 process technology, with a yield comparable to our fabs in Taiwan.
LOOKING FORWARD
The construction phase of our second fab is complete, and in April we broke ground on our third fab, with plans for more advanced process technology planned for each. TSMC Arizona is well positioned to address the strong AIrelated demand of our customers and ensure AI leadership in the US.
The impact has been significant for our state’s economy. An analysis by GPEC in April 2024 showed that $33B in direct economic output would be created from the investment in our first three fabs alone. Another area of positive impact is Arizona’s workforce. Consider the tens of thousands of unique construction jobs created from the Phoenix investment, and also our direct workforce today of more than 3,000 employees. By the end of the decade, we plan to grow our workforce to 6,000 to support three fabs by reaching across U.S. universities and also investing in advanced manufacturing training programs with community colleges and in-state universities. Collectively, these efforts are creating new pathways into the industry and TSMC Arizona.
Something else that is noteworthy about TSMC Arizona is our commitment to sustainability. TSMC was the first semiconductor company to join RE100, a global corporate renewable energy initiative committing our operations to 100% renewable electricity. Water conservation is also an issue the company takes seriously. In north Phoenix, we recently broke ground on an industrial reclaimed water plant designed for “near zero liquid discharge.” This will enable us to recycle at a
AT A GLANCE
Company name: TSMC Arizona
Headquarters: Hsinchu, Taiwan
Number of Employees: 3,000, with plans to grow to 6,000 by the end of the decade Years in Arizona: Five
Did you benefit from the CHIPS Act? TSMC Arizona will receive $6.6 billion in direct funding under the CHIPS and Science Act. What vertical(s) do you specialize in? At its first two fabs in north Phoenix, TSMC Arizona manufactures chips using advanced process technologies – including NF to 3-nanometer. Construction on the third fab, which will use N2 and A16 process technologies, has begun, and the company will consider accelerating the production schedule based on the strong demand for AI-related products.
How do you fit into the semiconductor ecosystem? TSMC Arizona is meeting the growing demand for semiconductors by U.S. technology companies by manufacturing chips and using advanced technologies to power everything from smartphones and electric vehicles to AI systems and aerospace technologies.
rate of 90% and reuse almost every drop of water. Looking back at the last four years, TSMC Arizona’s story is one of innovation and commitment. We are producing the world’s most advanced semiconductors, supporting the biggest names in technology and building the next-generation workforce, all while being the best possible neighbor to our community.
In Arizona, our story is still being written, and the best is yet to come.
tsmc.com/static/abouttsmcaz/in dex.htm
Gown Building Sky Bridge Southeast view
Industrial Reclamation Water Plant rendering
Marketing
The Power of Communications
The importance of amplifying your 'how' and 'why' in the age of semiconductors by
Martijn Pierik
In today’s business environment, innovation alone isn’t enough.
To stand out, companies must communicate both how they innovate and why (just ask author Simon Sinek). A chip breakthrough, a new platform or an AI-driven solution can transform industries, but only if people understand the purpose behind it, trust its technology and — of course — adopt it.
That’s where communications makes the difference.
Public relations is often treated as an afterthought, something to layer on after the product is built, the deal is signed or the policy is drafted. But in truth, communications is not a luxury — it is vital infrastructure. For technology companies in particular, the ability to tell their story clearly, credibly and consistently determines whether their innovation becomes a market leader or fades into obscurity.
At a time when artificial intelligence is reshaping how information is discovered and shared, when global competition is fierce and when trust in institutions is fragile, the question for executives is no longer, “Do I need PR?” It’s “How can I afford not to?”
OVERCOMING COMPLEXITY WITH CLARITY
Martijn Pierik brings nearly 30 years of experience in public relations, journalism and marketing to support Kiterocket's growing technology and innovation practice. He provides highlevel strategic counsel to the agency’s technology clients and supports business development efforts to drive agency and client growth.
Pierik holds degrees in international business management and marketing from Hanze Polytechnic University in the Netherlands and Northern Arizona University. kiterocket.com
Few industries are as complex (or as critical) as semiconductors. Chips power everything from smartphones to satellites, yet the details of their design and manufacturing can often seem vague even to seasoned business professionals. The same can be said of renewable energy systems, advanced materials, and countless other technologies being developed today.
Engineers create, but communications ensures their work resonates. Good PR translates technical language into narratives that resonate with investors, policymakers, customers and the public — people technology companies want to do business with. It puts innovation into context, explaining not just what a new technology does but why it matters, helping companies highlight their broader mission so audiences connect with the purpose behind the work as well as the mechanics.
Consider SEMICON West, one of the semiconductor industry’s most important gatherings. When we helped bring that event to Phoenix, it wasn’t just about hosting another conference. It was about telling Arizona’s story: a region evolving into a national hub for advanced manufacturing, workforce development and technology leadership. That story amplified the state’s global visibility and attracted new investments. Communications turned a logistical achievement into an economic one.
EARNING INDUSTRY CRED IN THE AI ERA
How people discover information is changing rapidly. Search engines powered by AI now prioritize credible, earned media over company-owned content. For semiconductor companies, this shift is profound.
In a complex, global and highly scrutinized industry, what surfaces first is often trade coverage or independent analysis. Without proactive storytelling, competitors or critics may end up defining the narrative.
That’s why PR is becoming as essential to semiconductor growth as R&D or supply chain strategy. The companies that thrive in this new environment will be those that own their brand narrative across multiple channels: traditional media, trade publications, thought leadership blogs and social platforms.
They will understand that AI doesn’t just reward visibility; it rewards credibility. And credibility grows strongest when technical achievements are aligned with a clear, mission-driven narrative that reminds audiences of both the how and the why.
And credibility isn’t bought — it’s earned through consistent, transparent communication.
ELEVATING YOUR PURPOSE AND POSITION
Looking ahead, technology PR must evolve far beyond routine product announcements.
As Kyle Porter writes, “Technology PR in 2025 will be about much more than promoting products; it will be about managing innovation, positioning companies as thought leaders, and driving global conversations ...” This perspective underscores the shift from traditional promotion to a more strategic role.
For example, when introducing a breakthrough technology, what resonates most isn’t the technical architecture but the tangible results it delivers — whether that’s safer operations, improved efficiency or more sustainable production. In semiconductors, investors and policymakers want to know not just how advanced a process node is but what that advancement enables in terms of real-world impact and progress.
At its best, communications doesn’t just follow innovation. It drives it. By elevating the overarching benefits of new technologies (how they improve lives, strengthen industries or advance sustainability), PR ensures innovation is understood in the fullest sense and remembered for its impact, not just its specifications.
STAYING TRANSPARENT. MAINTAINING TRUST.
The stakes are especially high when innovation touches sensitive areas: data privacy, artificial intelligence, automation and sustainability. Semiconductor manufacturers are grappling with questions about supply chains and geopolitics. AI developers are asked about bias and accountability. Renewable energy companies face scrutiny around recycling and land use.
In each case, the public wants more than a press release. They want transparency. They want to know that a company has considered the broader consequences of its work and is prepared to address them. PR professionals play a central role here — crafting messages that acknowledge risks, demonstrate responsibility and build trust.
Communications isn’t about spin; it’s about spotlighting real stewardship.
TURNING COMPANY CULTURE INTO EXTERNAL IMPACT
A strong culture doesn’t just energize employees inside a company — it can become one of the most powerful elements of a brand story. Every breakthrough is powered by people, and the world responds when those people and their passion come to light.
This is where PR plays an important role. A good partner helps uncover and share the stories that might otherwise remain behind the curtain: the morning rituals that keep teams connected, the mentoring that develops new talent, the values that guide decision-making. For example, at Kiterocket, we began a simple “Nine at Nine” check-in during the pandemic and created opendoor conversations through “Coffee with Martijn.” These practices not only reinforced our culture internally but also became proof points we could share externally to demonstrate what we stand for.
By amplifying culture and people in authentic ways, communications helps companies show how and why they are relatable. That human dimension builds trust with clients, partners and communities, making progress feel real and relatable.
RESPONDING FAST IN TOUGH MOMENTS
We also live in a world where crises are not hypothetical — they are inevitable. Data breaches, supply chain disruptions, product recalls, regulatory shifts: In technology, these events can unfold at lightning speed.
The difference between a company that recovers and one that collapses often comes down to communications. Does the company have a plan? Are its spokespeople prepared? Can they respond transparently and quickly, not just to the media but to the company’s own employees, partners and customers?
In the digital era, silence is not neutral — it is damaging. By engaging proactively, addressing concerns openly and demonstrating accountability, companies can turn even the toughest moments into opportunities to build trust.
WHY PR MATTERS MORE THAN EVER
So, why do technology companies need PR?
Because innovation without communication is invisible. Because in a world of AI-driven search and fragmented media, a reputation is being shaped whether or not the subject participates. Because engineers, entrepreneurs and executives alike deserve to have their work understood, trusted and embraced.
Public relations is not about hype. It is about clarity, credibility and connection. It ensures that the technologies reshaping our lives do so with purpose and trust. Most importantly, PR ensures that people remember not just the way companies, engineers, entrepreneurs and executives innovate but the why behind their work — keeping their mission at the forefront of how their brand is perceived.
Innovation may start in the lab. But it only reaches the world through the power of communications.
The Origins of Efficiency
Efficiency is the engine that powers human civilization. It’s the reason rates of famine have fallen precipitously; literacy has risen; and humans are living longer, healthier lives compared to preindustrial times. But where do improvements in production efficiency come from? In The Origins of Efficiency, Brian Potter argues that improving production efficiency — finding ways to produce goods and services in less time, with less labor, using fewer resources — is the force behind some of the biggest and most consequential changes in human history.
The Origins of Efficiency: An examination of how production processes—from penicillin to steel to semiconductors—get more efficient over time, and a powerful argument for efficiency as an underrated driver of progress
Brian Potter
$38.20
Stripe Press Available 10/14/25 384 pages
Tech Tides
Edoardo Giglio, a leading expert in cyber and strategic risk management, delves into the transformative power of innovation strategies in shaping the modern geopolitical landscape. As traditional military might gives way to technological prowess, this book reveals how countries can compete and collaborate within the global innovation ecosystem. Through detailed case studies, Giglio explores the innovation strategies of more than a dozen countries, examining their successes and failures. From Israel's tech-driven defense mechanisms to Ukraine's innovative responses amidst conflict, these examples illustrate how nations leverage technology for geopolitical influence. The book also highlights the dire consequences for countries that remain outside this ecosystem, using North Korea and certain African nations as cautionary tales.
Tech Tides: How Innovation Shapes Global Power
Edoardo Giglio
Bloomsbury Academic Available 10/16/25
Ultimate Beginner’s Guide to AI
152 pages
For professionals feeling overwhelmed by the complexity of artificial intelligence, worried about how AI might impact their job, or afraid they’re already falling behind the competition, this practical, empowering guide offers a clear, jargon-free path to understanding and applying artificial intelligence in their career and daily life. This book will show readers — whether they’re in marketing, healthcare, education, business or any other field — how to confidently embrace the tools and ideas shaping tomorrow.
The book covers topics from the fundamental concepts of AI that demystify machine learning and natural language processing to strategies for leveraging AI to drive career growth to ethical considerations of AI to how to connect with a community of AI learners.
Readers don’t need to be a data scientist or software engineer, just the willingness to learn — and a few minutes a day.
Ultimate Beginner’s Guide to AI: Practical Steps to Future-Proof Your Career, Boost Productivity & Thrive in a Rapidly Changing World of Innovation (Even if You're not Tech-Savvy)
Morgan Hale $18.99
Tempered Books On shelves and online 156 pages
Additional Suggestions
Following are a few suggestions based on our experiences working with commercial clients:
• Business leaders should ensure their financial institution is a member of the Société for Worldwide Financial Telecommunications (SWIFT). Many business leaders are generally aware of SWIFT as a cross-border banking system but may not realize the practical importance of sending various inbound and outbound international messages.
• Obtain a cross-border letter of credit from a financial institution capable of supporting this request. Ideally, the financial institution can provide a letter denominated in foreign currency in addition to one denominated in dollars.
• Ensure access to bankers with expertise in cross-border trade and foreign exchange — both structuring transactions and mitigating risk.
Not Just Dollars
Why U.S. firms should consider transacting in foreign currencies by
Shawn Walters
For decades, most U.S. businesses have defaulted to transacting international business in U.S. dollars. The dollar’s status as the world’s reserve currency makes this possible, with approximately 55% of bank customers’ cross-border flows denominated in dollars, according to a recent report from the International Monetary Fund. However, “possible” doesn’t always mean “optimal.”
That’s certainly true in the semiconductor industry, where supply chains crisscross the globe and many U.S.-based firms have foreign employees, subsidiaries and partners. Furthermore, the U.S. semiconductor industry derives approximately 70% of its revenue from overseas sales, according to the recently issued 2025 State of the Industry Report from the Semiconductor Industry Association. In this highly complex ecosystem, it’s logical that some transactions would be best handled in dollars and others in foreign currencies.
In our experience, many executives at U.S.-based firms recognize advantages of conducting certain trade in foreign currencies. However, there is often reluctance to actually do so, as some executives may perceive the use of dollars as risk-minimizing.
In actuality, insisting on dollars can, itself, introduce business risk — not to mention cost. Based on our conversations with business leaders in semiconductors and other industries, more people are recognizing those risks and costs. These conversations generally start with one of three angles: (1) receiving invoices, (2) issuing invoices and (3) establishing foreign currency accounts.
RECEIVING INVOICES
While foreign suppliers may be willing to invoice U.S. companies in dollars, there may be hidden costs associated with this convenience. For example, a foreign supplier may simply take the prevailing exchange rate on the date of the invoice and use it to calculate a large margin to insulate against daily currency fluctuations. This margin amounts to a convenience premium paid by the U.S. firm. Alternately, a foreign supplier may have a sophisticated exchange (FX) program yet still offer an unattractive rate.
To avoid both situations, it is recommended that U.S. firms request invoices in both U.S. dollars and the supplier’s local currency. Then, in collaboration with a financial institution that offers FX advisory services, the firm can reduce hidden supplychain costs.
Often, the most cost-effective approach is to pay in the supplier’s local currency while simultaneously entering a paired forward contract to fix the exchange rate for the lifecycle of the accounts-payable transaction.
FX forwards are especially helpful when companies have large, known FX payables such as for equipment, real estate or construction expenses. In establishing the forward, the financial institution will generate an “all-in” exchange rate, and the company then accepts those terms. Specifically, the
financial institution helps the U.S. firm hedge the FX risk by defining the U.S. dollar amount needed to settle the invoice (in foreign currency) on a particular future date.
Because this arrangement involves a credit facility, various agreements and disclosures must be executed in advance.
Bankers experienced in foreign exchange can facilitate these as part of a strategic review to eliminate hidden supply-chain costs.
ISSUING INVOICES
As U.S.-based firms expand internationally, they should also consider FX impacts. For example, a company involved in a competitive bidding scenario may want to offer a bid in both dollars and the potential client’s local currency. This modest concession offers the client convenience and can establish goodwill that may support the firm in winning the business.
As with receiving invoices, issuing invoices in foreign currencies should occur with advisory input from a financial institution capable of guiding the U.S. firm through the risks associated with this strategy.
ESTABLISHING FOREIGN CURRENCY ACCOUNTS
As U.S. firms ramp up cross-border business, they may find it helpful to establish their own foreign currency accounts (FCAs), denominated in the currencies they use in the course of their business.
FCAs can be especially helpful when firms have foreign subsidiaries and/or pay employees who reside outside of the U.S. Depending on the size of these transactions, companies may find it helpful to conduct hedging transactions, as necessary.
Attention to all these areas can help U.S.-based firms reduce hidden costs and establish productive business relationships with foreign counterparts — while attending to both business and financial risks.
Disclosure
This communication is provided for informational purposes only. UMB Bank, n.a. and UMB Financial Corporation are not liable for any errors, omissions, or misstatements. This is not an offer or solicitation for the purchase or sale of any financial instrument, nor a solicitation to participate in any trading strategy, nor an official confirmation of any transaction. The information is believed to be reliable, but we do not warrant its completeness or accuracy. Past performance is no indication of future results. The numbers cited are for illustrative purposes only. UMB Financial Corporation, its affiliates, and its employees are not in the business of providing tax or legal advice. Any materials or tax-related statements are not intended or written to be used, and cannot be used or relied upon, by any such taxpayer for the purpose of avoiding tax penalties. Any such taxpayer should seek advice based on the taxpayer's particular circumstances from an independent tax advisor. The opinions expressed herein are those of the author and do not necessarily represent the opinions of UMB Bank, n.a. or UMB Financial Corporation. Products offered through UMB Bank, n.a. Capital Markets Division are: Not FDIC Insured, May Lose Value, Not Bank Guaranteed.
Shawn Walters is senior vice president of global banking services at UMB Bank, Capital Markets Division. umb.com
Art on the Wild Side is a rotating art exhibit program at the Phoenix Zoo dedicated to inspiration, celebration and conservation through art. The Zoo currently hosts two galleries, the Savanna Gallery and the Wild Side Gallery. Both galleries provide our guests the opportunity to connect with the Zoo’s mission - To advance the stewardship and conservation of animals and their habitats while providing experiences that inspire people and motivate them to care for the natural world.
UPCOMING EXHIBITS
My Favorite Wild Thing!
Now – September 28, 2025
Come and celebrate with the children and grandchildren of Zoo staff and volunteers, as we gain a unique perspective from those who love and know it best!
Wild Inspiration
Now – August 24, 2025
This unique show highlights the creativity and passion of the Zoo community through art created by Zoo staff, volunteers and partners!
Comic Conservation
September 4, 2025 – January 25, 2026
The Zoo is proud to announce their first exhibit of comic book art and other forms of graphic illustration featuring each artist’s unique and bold interpretation of wildlife and the natural world.
Thomas D. Mangelsen: A Life in the Wild Tour
January 29 – May 31, 2026
Thomas D. Mangelsen: A Life in the Wild Tour, features forty of Mangelsen’s most iconic images - personally selected by the artist and known as his “legacy photographs.”
Blue Jay at Sunset | Wren West
Desert Hike | Mackenzie Loewen
Catch of the Day, 1988, Thomas D. Mangelsen
Nonnie Shivers is Phoenix office managing shareholder for Ogletree Deakins. She partners with employers and managers in three primary ways: litigation avoidance through proactive and maximally compliant 50-state counsel and training; complex workplace investigations, including at the C-suite level; and litigating legally complex and factually challenging cases to defend employers’ lawful actions. Shivers possesses super subject matter expertise in highly regulated industries, representing companies in nuclear, energy, mining, education, retail and e-commerce, as well as air carriers. As a Chambersrated eminent practitioner leading the largest and only Band 1 Chambersranked employment practice in Arizona, Shivers advises and counsels employers in all aspects of employment law. ogletree.com
Layoff Logic
How to avoid a short circuit with a lawful workforce contraction strategy by
Nonnie Shivers
As technology, demand and regulations rapidly evolve, the tech sector generally and semiconductor companies specifically must learn and master how to legally expand and contract their workforces to meet both business needs and budgetary constraints. Fluctuating demand due to the cyclical nature of the industry and the growing talent shortage with nuanced and evolving laws related to layoffs (including WARN and mandatory severance) mandate a clear understanding and application of compliance obligations to manage legal risk.
Since layoffs are a reality in the semiconductor industry, a robust workforce contraction strategy is key. At its core, employers should establish legitimate non-discriminatory and non-retaliatory selection criteria and supporting documentation to document those decisions in order to protect against legal claims, including both disparate treatment and disparate impact theories of discrimination. Ideally, objective selection criteria should be used as the most defensible strategy, even if it isn’t foolproof. Objective layoff selection criteria may include last in/first out; length of service; RIFspecific performance ratings based on objective metrics; or even the elimination of specific job functions no longer necessary to the business due to an objective issue, such as the loss of an account or end of production of certain technology. Subjective layoff decisions are more fallible and subject to challenge. Subjective criteria would ideally be measurable and tied directly to the organization’s operational needs, including but not limited to reducing salary expenditures, eliminating positions due to loss of contracts, or even evaluating departmental outsourcing. Should the criteria be performance-based, employers should ideally review source materials, such as past performance evaluations, to ensure that ratings have been applied consistently to avoid unlawful bias or discrimination.
Documentation of the decision-making process is essential. In the case of litigation, RIF documentation can serve as evidence showing that the process was fair, consistent and grounded in legitimate business needs. Some courts have eroded deference to business judgment as a justification recently, so companies should consider what evidence they will need to show that both criteria and selections will pass muster if challenged. Of course, implementing a severance plan under ERISA and/or offering severance with a waiver and release of claims can afford enhanced protection, presuming the company achieves full participation. It’s important that releases are modernized and refreshed to comply with evolving legal requirements. With any documentation, whether created in planning or executing a RIF, companies should ensure legal counsel is involved and documentation is protected by attorney-client privilege, including by issuing an instruction to treat all documents and information as such and marking documents clearly with the privilege and a message stating not to share the documents or information.
Chipmakers with multiple manufacturing sites and a large number of employees must be aware of the Worker Adjustment and Retraining Notification Act (WARN) in executing workforce management. Federal WARN requires 60 days’ notice before a covered plant closure or mass layoff and is triggered by 50 or more employment losses at a single site. A mass layoff occurs when there are employment losses for at least 50 full-time employees that amount to 33% or more of the workforce at the site, or when 500 or more full-time employees are affected regardless of percentage. Parttime employees and contractors do not count toward these thresholds but are still entitled to notice, whereas temporary employees do count but are not entitled to notice. Companies should also be aware of state-level “mini-WARN” laws that tighten thresholds and requirements, as well as burgeoning state laws mandating severance pay.
Furthermore, under the Older Workers Benefit Protection Act (OWBPA), an amendment to the Age Discrimination in Employment Act (ADEA), employers must provide employees aged 40 or older a 45-day consideration period and a sevenday revocation period for a valid release of claims. OWBPA also mandates disclosure of decisional unit; eligibility and selection criteria; and a list of job titles, departments, ages and selection status for both discharged and retained employees. Determining a decisional unit and what to disclose to impacted employees on the required OWBPA attachment to a release and waiver is an art without much case law guidance, so legal guidance helps mitigate risk on the front end.
Beyond these considerations, semiconductor companies with operations in multiple states should keep updated separation agreement templates in accordance with various state laws. State-specific forms are essential and should reflect restrictive covenants, such as noncompete and nonsolicitation clauses, which also vary significantly by state. In addition, separate agreements may also be needed under the OWBPA. Thus, companies are advised to work closely with human resources, management and legal counsel to ensure timeliness and compliance at all stages.
Social Impact
SEMIQUEST: INSPIRING
ARIZONA’S FUTURE WORKFORCE
SEMIquest is bringing the world of semiconductors into Arizona classrooms with immersive STEM experiences. By connecting students directly with industry professionals, the program opens doors to careers that power everything from clean energy to advanced medicine. Join the Semi Foundation and the Arizona Science Center by registering for this event, hosted on October 9th. semiquest.org
Powering the Future
How the SEMI Foundation is building America’s high-tech workforce by
Tyler Butler
In a brightly lit room at a local Arizona science center, a group of middle school students huddle around a small workstation, carefully donning miniature cleanroom suits. Their eyes widen as they peer through microscopes, manipulating tiny silicon wafers, marveling at the technology that powers the devices they use every day. This is SEMIquest in action — a traveling STEM experience created by the SEMI Foundation, the nonprofit arm of SEMI, the global association representing the semiconductor and microelectronics ecosystem.
Founded more than two decades ago, the SEMI Foundation began as a small initiative focused on education, but it quickly evolved in response to an urgent industry need. “Workforce development is the single most important factor in sustaining America’s leadership in semiconductors,” says Shari Liss, vice president of global workforce development at the SEMI Foundation. “Our job is to make sure talent pipelines are strong, agile and ready for the future.”
The Foundation’s mission is simple yet ambitious: to build pathways to opportunity in the semiconductor and microelectronics industry by inspiring, preparing and connecting the next generation of talent. Its vision is a future where all Americans, regardless of background, have access to the education, training and support needed to thrive in hightech careers.
This focus on workforce development didn’t come by chance. The semiconductor industry underpins everything from smartphones to clean energy and advanced medical devices, yet the U.S. faces a critical talent shortage. The CHIPS and Science Act and a surge in domestic manufacturing investment have created an urgent demand for tens of thousands of skilled workers in the next decade. Recognizing that the challenge wasn’t just about numbers but also about awareness and access, the SEMI Foundation designed programs to close the gap.
Tyler Butler, a trailblazer in ESG and corporate citizenship, has led Fortune 500 sustainability programs, contributed to two IPOs and founded Collaboration for Good. With degrees from ASU, Boston College and Cornell, she writes for top publications and serves as head of Public Affairs for Phoenix Rising FC. collaborationforgood.com
Programs like High Tech U give high school students direct exposure to microelectronics careers through mentorship and hands-on experience. VetWorks helps service members transition into civilian roles in the industry, translating their technical skills into in-demand positions. And the National Network for Microelectronics Education is building a nationwide ecosystem to strengthen curriculum and expand training opportunities. “Our work isn’t about short-term fixes; it’s about creating sustainable systems so that companies can find the talent they need and people can find careers they love,” says Michelle Williams-Vaden, executive director of the SEMI Foundation.
SEMIquest, launching this October, exemplifies the Foundation’s commitment to inspiration and awareness. By bringing interactive, immersive experiences to schools and science centers, including locations in Arizona, SEMIquest sparks curiosity among K–12 students and their families. Richard Walker, senior program manager for industry awareness, notes, “When students experience our hands-on programs, you can see their perspective shift. They realize
these careers are not just possible, they’re within reach.”
The Foundation’s community engagement extends far beyond individual programs. It thrives on partnerships, bringing together schools, science centers, workforce boards, state governments and employers to create locally relevant programs connected to national opportunities. Career awareness workshops, apprenticeship pipelines with community colleges and scholarship programs for underrepresented groups and veterans are all part of a coordinated effort to ensure that talent flows into the industry from all corners of the country.
The impact of these initiatives is already visible. Students who once had little understanding of semiconductor careers are now considering technical degrees and certifications. Veterans transitioning out of service are finding meaningful, high-paying careers in microelectronics. Employers, in turn, gain access to a skilled, diverse workforce prepared to tackle the challenges of advanced manufacturing and innovation.
The SEMI Foundation also maintains a strong presence at industry events like SEMICON West, one of the largest global gatherings of semiconductor professionals. These events serve as both a showcase for the latest technological advancements and a platform for promoting workforce initiatives. By connecting industry leaders, educators and students under one roof, the Foundation ensures its mission reaches beyond the classroom and into the broader ecosystem of semiconductor innovation.
For the SEMI Foundation, workforce development and community engagement are inseparable from the health and growth of the industry itself. Through programs that inspire, prepare and connect, the Foundation is not just addressing a skills gap, it is shaping the future of microelectronics, supporting economic competitiveness and opening doors for communities across the nation.
In the cleanroom suits, under the watchful guidance of mentors and volunteers, the next generation of engineers, technicians and innovators is taking its first steps. With each student who discovers a newfound passion for technology, the SEMI Foundation proves its vision: a future where opportunity in high-tech careers is accessible, equitable and transformative.
SEMI Foundation semi.org/en/workforce-development/semi-foundation
Photos courtesy of SEMI Foundation
Strengthening communities through charitable giving.
For over 40 years, the Arizona Community Foundation has supported nonprofits and students across our state by mobilizing the collective passion and generosity of thousands of Arizonans.
When you are ready to take the next step in your personal charitable giving journey, we are here to help you achieve your goals.
QUESTIONS TO ASK BEFORE COMMITTING TO AI
Before diving into AI solutions, nonprofits must ask:
• What purpose will AI serve?
• Will AI be used for constituent/customer/ community support; virtual-assistant chatbots for fundraising; institutional research for data aggregation or predictive analytics; or staff/faculty support?
• What specific problems might AI address — operationally or programmatically?
• How do the nonprofit’s AI goals align with state and national data protection and privacy laws?
• What roles and responsibilities will be assigned within the nonprofit for managing and overseeing AI programs?
• Will the nonprofit assign a governance committee, and what role will the IT department or datascience teams play?
Understanding AI in the Nonprofit Setting
Transparency and AI use policies make the difference by
Richard Tollefson
When the National Eating Disorders Association implemented a wellness chatbot named Tessa as a replacement for its human-staffed national helpline, the generative AI program began dispensing diet-culture advice harmful to the disordered-eating community.
The technology was quickly yanked, but the negative media attention and reputational harm to the nonprofit was already done. While AI offers useful and much-needed solutions to short-staffed nonprofits, this AI-gone-awry example provides a cautionary tale.
Executives sitting on nonprofit boards should urge their organizations to study the capabilities of AI, first, and to be very clear of the specific issues they want the technology to address. Adopting AI for the sake of saying “Our nonprofit embraces AI,” is counterproductive and often leads to a bloated administrative load and workflow — the opposite of the efficiencies it promises.
Nonprofits should be able to answer, for instance, who will administer and assess the AI tools’ effectiveness, who will monitor data protection and privacy regulations, how will departmental responsibilities change for those using AI?
AI TOE-DIPS RECOMMENDED
“The key is starting small,” says Judy Nagai, Ph.D., San Jose State University’s vice president for university advancement and CEO of the university’s Tower Foundation. Located in Silicon Valley, the university was one of the first in California’s public university system to offer a master’s degree in Artificial Intelligence in 2021.
“Explore simple tools that might help you write a better solicitation letter or donor impact report,” says Nagai. Even then, care should be taken to ensure a human voice is present in the communiques. If the language is not authentic to the nonprofit or customized to the recipient, customers and prospective donors are sophisticated enough to know.
AI AS SUPPLEMENT, NOT REPLACEMENT
on its own." When constituents prefer to talk to a human, or have a request best handled by a team member, the VEO connects them via email introduction.
Nagai is quick to point out that Samantha’s primary messages also are not necessarily fundraising focused. “Samantha shares university points of pride or asks, ‘What would you like to know about San José State? Can I send you the football schedule? Would you like to get involved as a mentor?’”
KEYS: DONOR TRANSPARENCY, POLICY
Due to careful planning and research, San Jose State’s unveiling of its VEO received a much warmer welcome than the NEDA chatbot. People are responding favorably and interacting, which is, in part, due to transparency. “It’s very clear from the very first message that says ‘Hi, I’m a virtual engagement officer, and I’m using AI to reach out to you’ that we are not trying to trick anybody,” says Nagai.
When adopting AI tools, it’s also important for boards to insist upon clear AI use policies, an area often overlooked in the rush to adopt. Nonprofits should consider:
• Ethical guidelines for AI use
• Staff roles and responsibilities to ensure accountability
• Proactive plans for risk mitigation and security
• Continual oversight and review of AI policy
Richard Tollefson is founder and president of The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists. phoenixphilanthropy.com
AI is a tool that serves as a complement to, not a replacement for, human interaction with stakeholders — something Nagai understands well. In May, her team partnered with Givzey |Version2.ai to unveil a virtual engagement officer (VEO), Samantha, named after the university’s mascot, Sammy the Spartan. The VEO communicates through video, text and email, and supplements the university’s annual giving and major gifts programs run by staff. “We have more than 300,000 alumni and only 20 fundraising staff members,” says Nagai. Samantha is filling a gap by engaging a population that was, before, unreachable — those who didn’t fall into fundraising’s annual giving or major gifts categories and alumni who had never engaged.
“We always have a human in the loop,” says Nagai. "The virtual engagement officer is not just operating and thinking
• Compliance with privacy, data protection, intellectual property, and copyright laws
“We need to be ethical stewards of how AI is adopted and governed,” says Nagai. San Jose State developed an AI vision statement and also offers “AI Literacy Essentials” training, supporting faculty and staff to better understand AI vulnerabilities and pitfalls. The university’s AI policies are continually reviewed alongside existing ethics and responsible-use policies.
The moral of the story: Nonprofits should not avoid AI. They should embrace it. “It’s like avoiding email back in the ’90s. Or text messages,” says Nagai. “The reality is that nonprofits are likely already using AI when they hire third parties for prospect management or data analysis.” The big question for board members, is “Can AI help staff become more efficient and effective in their work?”
MSRP: from $94,900
Range: up to 450 miles
DC fast charge: up to 400 kW
Output: up to 828 hp (dualmotor AWD)
0–60 mph (est.): ~3.5
seconds
2025 Lucid Gravity Grand Touring
The Lucid Gravity Grand Touring's spec sheet reads like it was purpose-built for executives who live on the move: long legs for statewide trips, a quiet cabin for calls, and hardware that shrugs off Phoenix heat and freeway miles. Range and recharge are the headline numbers — up to an EPA-estimated 450 miles in the two-row Grand Touring setup, with DC fast-charge capability up to 400 kW that can add roughly 200 miles in about 10.5 minutes. That combination trims dead time between meetings and makes turn-and-burn runs to Tucson or the West Valley realistic without planning gymnastics. Performance isn’t a party trick; with all-wheel drive and up to 828 hp on tap, the Gravity merges and passes decisively. The adjustable air suspension rides taut on Loop 202 yet can lift for job-site approaches or drop for efficiency. Inside, it’s business-class calm rather than spectacle. Optional massaging front seats, four-zone climate, dynamic ambient
Lost and Found
One of the biggest fears around flying is losing luggage, but even for quick business trips finding overhead space for carry-ons can be iffy. An answer to that concern comes from a “find me” technology, and Apple AirTags is one of the easy-to-use products available.
The AirTag connects through Bluetooth to iPhone or iPad on the Find My app — with a network of hundreds of millions of Apple devices that enables “finding” virtually anywhere in the world. And Precision Finding with Ultra Wideband technology (on select iPhone models) leads users right to their nearby AirTag.
Users can put AirTag into Lost Mode to be automatically notified when it’s detected in the Find My network. And they can share an AirTag's location with a third party, like an airline, to get help recovering a lost item.
The AirTags also work as a key finder and locator for wallet, backpack and more. They can be shared with up to five people, so items that everyone uses can be tracked by friends and
lighting and the 22-speaker Surreal Sound™ Pro (with Dolby Atmos) create an insulated workspace on wheels. The footprint is city-friendly — about 198 inches long on a 119-inch wheelbase with a 38-foot turning radius — yet there’s generous room for people and gear, and the three-row layout can be configured for clients, colleagues or weekend obligations without feeling cramped.
Pricing lands where many corporate leases live: Grand Touring from $94,900 (before destination and options). Wheel choices span 20 to 23 inches, with six exterior paints and curated interiors, but the appeal is simpler: a premium, three-row EV that prioritizes time, quiet and capability — the currencies that matter most to Valley professionals. —Mike Hunter
Lucid Motors lucidmotors.com
family. Importantly, all communication with the Find My network is anonymous and encrypted for privacy, and location data and history are never stored on AirTag.
Batteries are user-replaceable and last more than a year.
—Mike Hunter
$74.99 for a 4-pack on Amazon; $24.99 for one
Photos courtesy of Lucid Motors (top)
Hanny’s Market Salad
Mixed greens, artichoke hearts, cherry tomatoes, avocado, mushroom, hardboiled egg, hearts of palm, red onion and ParmigianoReggiano served with Dijon balsamic vinaigrette
$17
Hanny’s Is Palate to Palette Experience
by RaeAnne Marsh
$18
Grilled steak, bacon, fried egg and arugula served with remoulade on ciabatta
$20
One of the Phoenix Convention Center’s best amenities isn’t actually in the convention center — but it’s within walking distance. Located in the historic building that once housed Hanny’s Department Store, Hanny’s restaurant blends early twentieth century mercantile with art patronage for an atmosphere as satisfying as the dishes it serves. The gold and maroon terrazzo tiles at the entry are among many original architectural features; the “beaded lady” mannequin exemplifies the passion restaurateur Karl Kopp had to incorporate unique art pieces in his restaurants; and the immersive “kaleidoscope” current owner Trent Crump reimagined for a nonfunctioning elevator car is testament to the value this establishment continues to place on guest experience. With so much to engage the senses, the absence of any TV hardly registers. That absence is a purposeful decision, as Crump explains, “We want you to pay attention to the people you’re with.”
From the couches to the cuisine, every feature of this Downtown Phoenix hot-spot screams creativity and originality. The first-story dining room is wide open, with meticulous detail paid to sightlines and guest comfort. (Mirrors that line the wall above the row of booths are ever-so-slightly tilted, for example, so the person seated facing the wall has as good a view of the room as the person seated facing outward.) This results in a sensation of community with one’s fellow diners, all without creating that claustrophobic feeling we have all experienced in some of the Valley's hot spots. If privacy is desired, Hanny's delivers with mezzanine seating overlooking the main dining room.
This meticulously curated atmosphere is complimented by a menu that highlights both classic comfort foods and inventive twists. As decadent as it is reasonably priced, its menu has matured alongside the Valley in which it resides.
Among the sandwiches is the Sausage & Peppers, fresh ciabatta with a generous filling of Italian sausage, sautéed Calabrian peppers and onions. On the side, Hanny’s signature Sidewinder Fries — thick, curly potato wedges with a golden,
seasoned crust served with creamy basil parmesan dip (think Ranch, but elevated) and Calabrian pepper, olive oil and garlic aioli.
Proving pizza does not require red sauce is the Chicken Pesto Pizza, liberally topped with pesto, Italian cheese blend, strips of chicken breast and roasted tomato. Most of the other pizzas do have red sauce, such as hot-selling Hot Honey Pepperoni Pizza, with its hot honey drizzle over all. Common feature is the crust, crisp and seasoned in a signature oval shape.
New items are added from time to time. This month sees the debut of the Tuscan Burger — Hanny’s first hamburger. Served on a buttermilk bun from Noble Bread, the burger takes its Italian flavor from Fontina cheese and a topping of shredded asparagus and mushroom sautéed together.
Beyond lunch, Hanny’s also boasts late-night service with a kitchen that stays open until about half an hour before the restaurant’s closing at midnight Sunday through Thursday and 1 a.m. on Friday and Saturday.
Hanny’s
40 N. First St., Phoenix (602) 252-2285 hannys.net
Hanny’s is a visual piece of Phoenix history. The building was constructed in 1947 to house Hanny’s Department Story, which opened in November of that year.
Photos courtesy of Hanny's
Chicken Pesto Pizza
Pesto, Italian cheese blend, chicken breast and roasted tomato
Hanny’s Steak Sandwich with Sidewinder Fries
From Campus to Cleanroom: Tempe’s Rise in the Semiconductor Race
Tempe, Arizona — best known as the home of Arizona State University — is quickly becoming a key location in the global semiconductor industry. While nearby cities like Chandler and Phoenix often grab headlines, Tempe quietly hosts several companies and research centers that are critical to the design, packaging and innovation of microchips used in everything from smartphones to electric cars.
Leading the charge is Amkor Technology, Inc., which has its global headquarters in Tempe. Amkor is one of the largest companies in the world that helps tech giants nish and test their computer chips after they’ve been manufactured. In simple terms, Amkor takes raw chips and prepares them to be used in real-world devices like laptops, cars and data centers.
Another major player is Versum Materials, Inc., now part of Merck Group. Versum makes high-purity chemicals and materials that chipmakers need to build their products layer by layer. These materials help create the incredibly small and precise features that make chips powerful and ef cient.
Tempe is also home to Advotech, a company that supports chip manufacturing by building prototypes and assembling tiny electronic
parts. It helps turn chip designs into working models and test them, often supporting companies in fast-paced industries like aerospace and defense.
What makes Tempe even more interesting is the role of Arizona State University. ASU has partnered with Applied Materials to open the Materials-to-Fab (MTF) Center, a $270-million facility where researchers can experiment with new ways to build chips before they are produced on a large scale. This is one of the few places in the U.S. where such hands-on innovation is happening.
ASU has also been chosen to host one of only three new National Semiconductor Technology Center (NSTC) sites in the country. This new lab will focus on creating advanced chip packaging, an area that’s becoming more important as companies try to make smaller, faster and more ef cient chips.
Tempe may not be the rst name that comes to mind when thinking of the chip industry, but its combination of corporate headquarters, high-tech materials, small business support and cutting-edge university research makes it a critical — and growing — hub for semiconductor innovation in the U.S.
Tempe Chamber Presents the 2025 ASU Sun Devil Football Kickoff Luncheon
The Tempe Chamber of Commerce recently hosted the 2025 ASU Sun Devil Football Kickoff Luncheon presented by San Tan Ford. The Luncheon was held at the San Tan Ford Club perched high above the Mountain America Stadium.
Amidst a sea of maroon and gold, the event was packed full of fun and special guests as Sun Devil Football builds momentum for the start of Coach Kenny Dillingham’s follow-up to last year’s dream season. Fans heard from several of the players through a light-hearted
panel interview moderated by Tim Healey, the voice of the Sun Devils. Many of the team’s rising stars, including quarterback Sam Leavitt, were in attendance, lling the room with contagious team spirit. The Sun Devils have high expectations following last year’s success in their Big 12 Conference debut, and the atmosphere in the room was electric!
“This event is a great opportunity for Tempe’s business community to rally behind Sun Devil Football and show our support,” said Robin Arredondo-Savage, president and CEO
of the Tempe Chamber. “Sun Devil fans extend well beyond ASU’s campus — they’re part of the entire Valley. It’s also a fantastic place for local businesses to connect and network with key Tempe stakeholders. Bringing everyone together like this builds community pride and gives the team a real boost as they head into the season.”
Attendees met many of the 2025 coaches, cheerleaders and even band members while enjoying photo opportunities with players and Sparky, the Sun Devil Mascot.
Tempe’s Business Community Shines at Annual Excellence Awards Luncheon
Tempe is more than just a city — it’s a thriving hub of innovation, resilience and community spirit. That energy was on full display at the sold-out Business Excellence Awards Annual Luncheon, hosted by the Tempe Chamber of Commerce and presented by Southwest Airlines. Held at Culinary Dropout and emceed by AZFamily’s Nicole Crites, the event celebrated the incredible accomplishments of local businesses, leaders and community champions.
“This year’s award recipients re ect the heart of Tempe,” said Tempe Chamber President and CEO Robin Arredondo-Savage. “Their excellence, resilience and innovation re ect the unique and dynamic spirit of our community. Their stories remind us what’s possible when we work hard, support one another and keep pushing forward.”
From creative entrepreneurs to public servants and trailblazing companies, the winners showcased the very best of business in Tempe: Small Business of the Year: Dance 101 was recognized for bringing energy and creativity to the community through movement and inclusivity.
Large Business of the Year: Big-D Construction earned praise for its leadership in growth, employee culture and community involvement.
Non-Profit of the Year: Arizona Theatre Company proved that the arts continue to thrive in Tempe, enriching lives through storytelling and performance.
Innovation & Sustainability Award: Benchmark Electronics was spotlighted for pushing boundaries in technology while prioritizing environmental responsibility.
Cool Place to Work: Northbend stood out for
fostering a workplace culture that’s both fun and ful lling.
Community Leader of the Year: Dr. Shereen Lerner was honored for her leadership and tireless service to Tempe’s people.
Volunteer of the Year: NoRA Trevino exempli es the giving spirit that de nes this city.
Spirit of Tempe Award: Nick Bastian continues to be a vibrant force in community engagement.
First Responder of the Year: Of cer Aaron Williams of the Tempe Police Department was recognized for going above and beyond in protecting the community.
These awards celebrate more than individual success — they spotlight a city where businesses support one another, where innovation thrives and where community really is at the core of everything.
Tempe Business License Applications Now Open
The City of Tempe Business License went into effect August 1, 2025. Applications for the license are now open. Businesses are encouraged to apply before the end of the year to receive waived fees through Jan. 1, 2027. Why did Tempe establish a business license? The license will provide a single point of
intake for information and establish a more complete database to better address needs and communicate essential updates on items like city ordinances and service programs. An estimated 30,000 Tempe businesses are not in the city’s database.
This new database will be used to encourage
engagement in decision-making, provide information about events and opportunities and reach businesses in the event of emergencies. Businesses can opt out of publicly sharing their contact/demographic information in the database. Read the ordinance and nd complete details at tempe.gov/BusinessLicense.
Leadership through the Tempe Chamber: Guiding Today, Leading Tomorrow
Tempe Chamber Mentorship Program
The Tempe Chamber’s Mentoring Program, presented by the Women in Business Council, kicks off its 2025 cohort this October. Designed to support both women and men, the program empowers participants to achieve their personal and professional goals in a supportive, successdriven environment. Mentorship remains one of the most impactful ways to foster growth, development and long-term success for individuals and organizations alike.
For protégés, some key benefits of business mentoring include:
• Exposure to new ideas and ways of thinking
• Advice on developing strengths and overcoming weaknesses
• Guidance on professional development and advancement
• Increased visibility and recognition within the company
• The opportunity to develop new skills and knowledge through business education
Proteges are paired with a mentor to complete a six-month program with a monthly issue day.
Tempe Leadership: Shaping Tempe’s Future Leaders
Since 1985, the Tempe Leadership Program — in partnership with the Tempe Chamber Foundation and the City of Tempe — has united community-minded individuals to connect, collaborate and deepen their understanding of Tempe. Participants are challenged to grow as leaders while making a meaningful impact. Today, Tempe Leadership alumni can be found serving on local boards and commissions, holding elected of ce, and volunteering countless hours to strengthen the community — leaving behind a legacy of service and leadership that continues to shape Tempe’s future.
Tempe Leadership Community Service Project: Lost Our Home Pet Rescue
Each year, the Tempe Leadership Class chooses a community service project. This year, Lost Our Home Pet Rescue was chosen. Founded as a no-kill shelter in 2008, Lost Our Home rescues abandoned pets and is committed to ensuring they get the care they need and the new loving homes they deserve. In addition to rescue efforts, the organization is dedicated to serving the community and providing support for families that are experiencing crisis by giving comfort to pet parents who must surrender their pets because they are no longer able to care for them.
This year’s class project delivered a much-needed boost for Lost Our Home Pet Rescue, providing an industrial-grade washer and dryer along with upgraded laundry and storage areas. The improvements will double the shelter’s laundry capacity, helping ensure a cleaner, safer environment for every pet in its care.
Career Ready Tempe: Strengthening the Future Workforce
Every summer, Career Ready Tempe, another partnership program between the Tempe Chamber Foundation and the City of Tempe, opens doors for local high school students by pairing them with local businesses for paid internships. But the program does more than just provide a summer job — it creates lasting opportunities, both for students and the companies that mentor them.
This year students were placed in a variety of businesses, including hospitality, engineering, local government, aerospace, startups, retail and service areas. For one student, the internship strengthened a résumé and laid a meaningful foundation for future opportunities. The mentor’s support went beyond the workplace, even offering to serve as a reference for the student’s next steps.
Another participant gained hands-on experience with industry tools like Photoshop, Premiere Pro, Lightroom and even drone technology. “These
Back Row, from left: Ty Lee, Chris Watts, Franklin Zyriek, Michelle Butler, Dane Ellsworth, Katie Johnson, Darreyl Davis, Dianne Haws; Front Row, from left: Kelli Cholieu, David Keys-Nuses, Marisa Calderon, Kimberly McGoldrick, Heather Rodriguez, Isaac Grove, Maria Elena Coronado-Sutter
hard skills are things I can take into any marketing workplace,” the student explained, “and they’ll make it easier for me to adapt in the future.”
The program also ensures the right t between students and mentors. By involving interns in the interview process and listening to their feedback, Career Ready Tempe creates matches that lead to rewarding and successful experiences.
At its core, the program is about partnership. Students gain realworld skills, businesses build stronger talent pipelines, and together, they shape a brighter future for Tempe’s workforce. As one participant put it: “The program is put together in a way that helps both students
Busch Group Expands with 60,000-Square-Foot Service Center in Tempe
Busch Group, a global manufacturer of vacuum and overpressure technology, is expanding its U.S. footprint with a new 60,000-squarefoot service center in Tempe, scheduled to open in October 2025. The facility is designed to strengthen regional support for key industries, including semiconductors, industrial manufacturing, medical technology and environmental services.
The Tempe center will serve as a regional hub specializing in the service, repair and overhaul of vacuum pumps and systems. Its capabilities will include work on turbomolecular pumps, leak detectors, valves and accessories while also supporting equipment from multiple manufacturers. This multi-brand approach is intended to provide greater exibility for customers, reduce turnaround times and expand service availability across the U.S.
The investment aligns with Arizona’s growing role as a hub for advanced manufacturing. The state has seen signi cant growth in semiconductor-related development, supported by an expanding ecosystem of suppliers and service providers. Facilities such as Busch’s Tempe location add infrastructure critical to sustaining this growth by providing technical expertise, localized support and faster response times for high-performance industries.
The service center also represents a broader expansion strategy for Busch Group, which employs more than 8,000 people worldwide, including more than 1,200 in the United States. By adding to its nationwide network
of facilities, the company is positioned to provide localized service for a wide range of sectors beyond semiconductors, including automotive, packaging, food processing, pharmaceuticals and plastics.
Industry analysts note that the addition of service capacity helps strengthen supply chain resilience by reducing equipment downtime and ensuring continuity of operations. As manufacturers increasingly rely on complex technologies, the availability of specialized repair and overhaul services is considered essential to maintaining productivity and competitiveness.
The Tempe service center underscores the company’s continued commitment to the U.S. market and highlights Arizona’s position as a growing center of high-tech manufacturing. With expanded technical capabilities and a strategic location, the facility is expected to play a key role in supporting national demand for advanced vacuum solutions.
Tempe Chamber Sta
Robin Arredondo-Savage President & CEO robin@tempechamber.org
Paulette Pacioni
Vice President of Operations & Communications paulette@tempechamber.org
Julie Flanigan CPA Director of Finance julie anigan@tempechamber.org
Karin Jimenez Director of Events & Programs karin@tempechamber.org
Kassandra Beavers Business Development Specialist kassandra@tempechamber.org
Evan Nickels Development Growth Specialist evan@tempechamber.org
Board of Directors
Board Chair: Laura Briscoe, Laura’s Gourmet
Incoming Chair: Zack Heim, SRP
Treasurer: Beth Stull, State Farm
Immediate Past Chair: Tom Binge, Renaissance Financial
Chris Howard, AV Concepts
Cionte Prater, JPMorgan Chase
DeeDee Guerrero-Esparza, Dignity Health
Electa Thompson, Edward Jones
Jesse Shank, Brick Road Coffee
Kate Smith, Rio Salado College
Kate Vawter, Tempe Leadership
Lori Foster, Downtown Tempe Authority
Matthew Heil, Phoenix Sky Harbor International Airport
Michael Martin, Tempe Tourism Of ce
Nick Bastian, Realty Executives - Nick Bastian
Patrick Carlson, APS
Paul Quinn, R & K Staf ng, Benchmark
Rosa Inchausti, City of Tempe
Sean Brown, Sean Brown Commercial Real Estate
Stacy Billings, BD
Tim Gomez, Arizona State University
The Tempe Chamber of Commerce strengthens the local economy through networking, advocacy, professional and workforce development. It regularly advocates for a favorable business climate through interactive public policy engagement and provides ongoing representation in government at local, state and federal levels.
Tempe Chamber of Commerce
P.O. Box 28500, Tempe, AZ 85285 (480) 967-7891 | www.tempechamber.org
Aas, Trond, 28
Ahmad, Mohammed, 12
Arredondo-Savage, Robin, 57
Ayres, Greg, 38
Bergman, Eelco, 39 Brown, justin, 12
Butler, Tyler
Cappadona, Bob, 22
Castanares, Rose, 11, 41
Chakrabarty, Krishnendu, 24
Crump, Trent, 54
Dei Cas, Katherine, 33
Giglio, Edoardo, 43
Hale, Morgan, 43
Hay, Samantha, 24
Hull, Jeff, 36
Johnson, Graham B., 14
Kaminskyi, Serhii, 40
Katz-tsameret, Zivit, 37
Kopp, Karl, 54
Advotech, 55
American Red Cross, 63
Amkor Technology, 55
Apple, 52
Applied Materials, 55
Arizona Commerce Authority, 17, 23
Arizona Community Foundation, 49
Arizona Financial, 9, 12
Arizona Science Center, 16
Arizona State University, 53, 55
Artlink, 47
Attensi, 28
Benchmark Electronics, 16
Blue Cross Blue Shield of Arizona, 4
Busch Group, 59
Busch Vacuum Solutions, 19
C-Hawk Technology, 32
Denova Collaborative Health, 14
DSV Inventory Management Solutions, 24
EMD Electronics, 33
Everspin Technologies, Inc., 16, 34
Foam Packaging Specialties, 35
Foresight Technologies, 36
Goodmans, 64
Goodwill of Central and Northern Arizona, 5
Goodyear, City of, 29
Greater Phoenix Economic Council, 17
Hanny’s, 53
Honor Technology, 26
HonorHealth, 27
Hunter Contracting Co., 12 Intel, 16, 37
Jive, 10
Kiterocket, 2, 3, 16, 42
Lucid Motors, 52
Merck Group, 33, 55
National Bank of Arizona, 15
Nox Group, 38
Odobo Energy Partners, 62
Ogletree Deakins, 46 onsemi, 16
Optum, 7
P.B. Bell, 20
PADT, 15
Phoenix Philanthropy Group, The, 50
Phoenix Rising FC, 48
Phoenix Symphony, The, 25
Phoenix Zoo, 45
In each issue of In Business Magazine, we list both companies and indivuduals for quick reference. See the stories for links to more.
Liss, Shari, 48
Mitman, John, 62
Nagai, Judy, 50
Perry, Chris, 35
Pierik, Martijn, 42
Potter, Brian, 43
Rockholt, Tim, 19
Schrenk, David, 34
Shantz, Ian, 12
Shivers, Nonnie, 46
Steltenpohl, Justin, 20
Sternberg, Seth, 26
Stockunas, Joe, 18
Tan, Lip-Bu, 16
Tollefson, Richard, 50
Verma, Kuldip, 28
Walker, Richard, 48
Walters, Shawn, 44
Zunino, Chase, 32
Phoenix, City of, 17
Prisma Community Care, 13
Prosano Health, 4
ProTech Detailing, 21
RS Contracting, 19
San Jose State University
Sandra Day O'Connor College of Law, 53
Saras Micro Devices, Inc., 16, 39
SEMI Americas, 18
SEMI Foundation, 16, 48
SorbiForce, Inc., 40
Southwest Gas Corporation, 12
SRP, 51
Stearns Bank, 10
Sunbelt Holdings, 21
Tempe Chamber of Commerce, 55
TSMC Arizona, 11, 19, 41
UMB Bank, 44
Veolia North America, 22
Veolia, 19
Vermaland, 28
Versum Materials, 55 West-MEC, 16
Bold listings are advertisers supporting this issue of In Business Magazine
A WAY FORWARD
No one can fully solve the unpredictability of tariffs, but businesses can mitigate the damage. Five strategies we employ in our business stand out:
• Clear contracts. Always define who pays tariffs and whether cost increases trigger adjustments.
• Constant monitoring Keep an eye on tariff schedules and executive orders, despite the tedium.
• Scenario planning Build in contingencies and escalation clauses — even if they complicate the agreement.
• Collective advocacy Industry coalitions have occasionally slowed or softened tariff rollouts. There’s strength in numbers.
• Stockpiling. Prepurchasing can buy certainty, though it introduces storage costs and risks.
John Mitman is the founder and CEO of Obodo Energy Partners, a leading provider of large-scale solar and energy infrastructure solutions headquartered in Tempe, and board president of AriSEIA, a 501(c)(6) trade organization representing solar, storage and electrification interests in Arizona. After earning acclaim as part of a national energy services provider, Mitman is thrilled to refocus his attention on Arizona’s communities with Obodo’s suite of development-designbuild-maintain services. odoboenergy.com
Import Tariffs: The Hidden Costs of Staying Competitive
And what does this have to do with increasing energy demands and Arizona's booming tech industry?
by John Mitman
In Arizona, where population growth and record-breaking demand are stretching the power grid, the push for new solar and energy infrastructure is as strong as it has ever been. Every project we deliver connects to a system that needs more capacity and more resilience. Yet, the pace at which we can build is increasingly shaped by a factor that feels far removed from substations and rooftops: U.S. import tariffs.
By definition, tariffs are straightforward. The International Trade Administration calls them “taxes imposed by the U.S. government on goods imported from abroad.” They’re paid to U.S. Customs and Border Protection at the time of entry into the U.S., with rates set by product type under the Harmonized Tariff Schedule and by the country of origin. The importer of record is legally responsible for paying, though contracts can reassign that responsibility between buyer and seller.
On paper, it sounds manageable. In practice, tariffs are unpredictable, costly, and — if not carefully managed — an existential risk for businesses of all sizes. Executive orders signed earlier this year expanded tariffs on a range of technology-related goods, including solar modules, inverters and upstream materials tied to semiconductor production. For Arizona, one of the fastest-growing states for power generation, these shifts collide directly with an urgent need: to bring affordable, reliable projects online as quickly as possible.
WHEN BEING INFORMED HURTS
The strangest part about working with tariffs is how being well-informed can backfire. In the race to keep up with Arizona’s grid growth and demand for lower cost energy, pricing efficiency is critical. A key equipment supplier of ours recently quoted two prices for a project we were bidding on — one with a 10% tariff and another with a 38% tariff, depending on the direction the policy winds blew for that country of origin. If we factored in the higher tariff, our bid might appear too conservative.
Competitors, either unaware of the risks or willing to gamble, may bid lower and win the job — only to face painful surprises when tariffs come due. By then, contracts are signed, customers expect fixed costs, and timeline commitments are made to ensure that the projects come online as soon as possible.
ABSORBING COSTS AND DISREGARDING PROGRESS
Then comes the bigger question: Who pays? In a state where utilities, municipalities and private businesses alike are laserfocused on cost efficiency, passing tariffs directly to customers is not always viable. Many companies quietly absorb them instead. For us, a “no change order” commitment is part of how we build trust. But that means unforeseen tariff costs may divert
funds out of budgets meant for growth and innovation. Dollars once earmarked for improving our impact in Arizona communities through access to our services or developing cutting-edge solution strategies are shifted to cover federal fees.
That trade-off has real implications for Arizona. This is a state with some of the most ambitious energy growth goals in the country, and every delay in innovation makes it harder to keep pace with demand. If tariffs continue to drain resources from the firms driving progress, we risk slowing not just company growth — but the transformation of the energy system itself.
NOT JUST A LINE ITEM
It’s tempting to think of tariffs as another line on a balance sheet that can be planned and accounted for; however, in practice they can make or break a project and come “from left field.” I’ll never forget February 2018, when we anxiously watched two solar shipments arrive — one cleared port the day before Section 301 tariffs took effect, the other the day after. The difference? Mid-six figures added overnight to the cost of a single Arizona project, with those fees funneled to the federal government.
Larger entities may have balance sheets that can weather these shocks, but smaller firms — many of whom are building commercial-scale projects across our state — are far more vulnerable. For them, one sudden policy change can wipe out margins and derail projects that Arizona communities rely on.
LOOKING AHEAD
Tariffs remain a persistent challenge. For industries that provide solar and energy services — or any sector operating on thin margins and constant innovation — the stakes are high. Absorbing these costs may keep projects moving, but the hidden casualty is long-term progress and, in some cases, business solvency. As of today, tariffs show no signs of disappearing, which makes planning essential. Ultimately, the true cost is not what is paid at the port; it’s the lost opportunities for innovation and growth when businesses shoulder that burden unprepared.
Import tariffs hit more than just tech or solar; any industry that brings in goods can face sudden cost spikes. The catch? Contracts often decide who pays. Without clear language, the importer is stuck footing the bill when U.S. Customs collects.
Help Can’t Wait DURING EMERGENCIES
Help Can’t Wait DURING EMERGENCIES
We invite you and others to join the American Red Cross mission by volunteering, giving blood, learning lifesaving skills or making a financial donation. Your support helps ensure families don’t face emergencies alone.
We invite you and others to join the American Red Cross mission by volunteering, giving blood, learning lifesaving skills or making a financial donation. Your support helps ensure families don’t face emergencies alone.
Volunteer. Give Blood. Donate. Take a Class. Visit redcross.org/AZNM to learn more.
Volunteer. Give Blood. Donate. Take a Class. Visit redcross.org/AZNM to learn more.
