GlobalFoundries (GFS.US) receives support from the US and Japan to expand American production capacity; Morgan Stanley: asset-light expansion is expected to enhance profitability

According to Golden Ten Data, on October 15, Morgan Stanley released a research report stating that GlobalFoundries (GFS.US) has been selected as the technology provider and operator for two new 300mm wafer fabs at the Malta site in New York. Japan will provide up to $21 billion in funding for the project under the US-Japan trade agreement. In addition, the US CHIPS program office will reallocate the previously granted $955 million to GlobalFoundries to be used for R&D and capital expenditures starting in 2027, and the US Department of Commerce will receive about a 4% equity stake in GlobalFoundries. Morgan Stanley believes this agreement is beneficial for GlobalFoundries, significantly expanding its profit potential without capital expenditures, and highlights its strategic value as the only large-scale foundry in the US.