Gov. Hochul encourages federal cooperation, support for New York AI development
Gov. Kathy Hochul said New York state is ready to collaborate with the federal government to advance the development of Artificial Intelligence. The statement comes after President Trump’s accusations of “wasteful” spending regarding the CHIPS and Science Act. Meghan Hendricks | Senior Staff Photographer
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In a Monday statement, Gov. Kathy Hochul said New York state is ready to collaborate with the federal government to advance the development of artificial intelligence and microchip manufacturing, but said efforts to cut back federal funding threaten the state’s ability to advance the industries.
Since his return to the White House, President Donald Trump has labeled spending in New York state “wasteful,” including in regards to Micron. In Monday’s statement, Hochul advocated for the programs the state has implemented with Micron and other initiatives.
“The United States is in a race with China and the rest of the world in the global AI revolution, and with our first-in-the-nation Empire AI Consortium, New York is leading the way,” Hochul said. “… We stand ready to ensure that AI is a force for good, not just for huge global companies.”
The announcement followed the state’s Mar. 14 response to Trump’s request for feedback on his Artificial Intelligence Action Plan. The response, written by Director of State Operations and Infrastructure Kathryn Garcia, said the state hopes to help strengthen the United States’ position as a leader in AI, but warned against policies that deter innovation, such as cutting the act itself or research funding at academic institutions.
“Cuts to federal funding for scientific research and universities threaten the talent pipeline that fuels AI advancements,” Garcia wrote. “Efforts to roll back or undermine the CHIPS Act would directly harm the nation’s ability to secure a resilient semiconductor supply chain, a critical component of AI development.”
In his Mar. 4 State of the Union Address, Trump highlighted his federal spending cuts and pointed to the CHIPS Act, calling it “wasteful spending” and telling House Speaker Mike Johnson to “get rid of it.” Johnson previously said the act would not be repealed after backlash for pledging to repeal it, NBC reported.
The CHIPS Act has brought billions of dollars for Micron’s planned semiconductor fabrication facility in Clay. Micron is expected to bring nearly 50,000 jobs to central New York and has partnered with institutions such as Syracuse University’s College of Engineering and Computer Science to develop programs in preparation for its arrival.
Construction is still set to begin later this year despite uncertainty over Trump’s funding agreements.
Meghan Hendricks | Senior Staff Photographer
Amid Trump’s rollbacks on diversity, equity, inclusion and accessibility initiatives, he’s threatened to rescind funding from Micron due to its policies. The company is set to bring nearly 50,000 jobs to central New York.
Trump has threatened to rescind funding based on concerns over Micron’s diversity, equity, inclusion and accessibility policies, as well as alleging the CHIPS Act solely benefits “rich companies.”
Hochul acknowledged the costs of AI development and that resources are increasingly allocated toward larger tech companies, which limits accessibility. Hochul’s administration has led several initiatives for AI development in New York state.
In October, Hochul announced the Empire AI Consortium, housed at the University of Buffalo, that focuses on AI research.
In August 2022, Hochul introduced the Green CHIPS Act, which aims to attract companies like Micron to the state by offering economic incentives and promoting sustainability. The legislation helped secure a $100 billion partnership with Micron to bring chip research to NYCREATES’ Albany NanoTech Complex.
With the risk of federal funding being pulled, Hochul said the nation as a whole would suffer if the federal government limits AI development and chip manufacturing in New York. Still, Hochul expressed excitement for the fields’ futures.
“New York is continuing to help New Yorkers launch businesses and access good jobs in this growing economy while building an AI future that is safe, sustainable, and globally competitive,” she said. “We welcome opportunities to collaborate with the Trump Administration to advance those goals.”
