GM inks deal with GlobalFoundries to secure U.S.-made chips

FILE PHOTO: A screen displays the company logo for semiconductor and chipmaker GlobalFoundries Inc. during the company's IPO at the Nasdaq MarketSite in Times Square in New York City, U.S., October 28, 2021. REUTERS/Brendan McDermid/

OAKLAND, Calif/DETROIT (Reuters) -General Motors Co and chipmaker GlobalFoundries Inc on Thursday announced a long-term deal for the automaker to secure U.S.-made processors that will enable it to avoid the factory-halting chip shortages that kept millions of cars from being manufactured during the pandemic.

GlobalFoundries said the agreement for at least three years was the first of its kind and establishes a dedicated capacity exclusively for GM’s key chip suppliers at their upstate New York fabrication facility.