June 3, 2003 – Austin, TX – International SEMATECH, which has been based in Austin, TX, since its inception in 1988, is likely to remain there after state lawmakers approved a new development fund that’s expected to provide substantial economic incentives for the semiconductor research consortium, reported Dow Jones.

“My belief is that there won’t be any more talk of relocating anywhere else,” SEMATECH spokeswoman Anne Englander said in an interview, although she added that SEMATECH board members ultimately will make that decision.

The state legislature approved creation of the $295 million Texas Enterprise Fund over the weekend. Governor Rick Perry, a major supporter of the fund, is widely expected to sign off on it. Still, it’s unclear how much of the money will go to help retain SEMATECH, which has been aggressively courted by state leaders in New York.

Perry initially had sought $390 million for the fund, of which $40 million was to be used in the effort to retain SEMATECH. Perry has vowed to provide a total of $200 million over five years, through a variety of sources, to help build a SEMATECH-administered Advanced Materials Research Center here.

SEMATECH officials said they fully anticipate that the Advanced Materials Research Center will get the $40 million from the new fund that Perry initially proposed. They also said such a commitment will be viewed as a strong indication of the state’s intent to deliver the $200 million total over five years.

“We’re here to stay in Texas” if that happens, said Chris Daverse, SEMATECH’s manager of external affairs, which includes government relations. “We’re prepared to make that commitment.”