Samsung Semiconductor has announced plans to expand in Silicon Valley, a move that "will considerably increase the company's current employment and significantly increase the size of the existing facility," according to a "memorandum of understanding" signed with local and state officials. Samsung Electronics President Jong Joong Kim joined Gov. Jerry Brown as well as San Jose city and Santa Clara County officials to announce the expansion. It will take place over the next two years, and is expected to be in research and development as well as sales. There were few details about plans by the Samsung subsidiary, one of two in the San Jose area, along with Samsung Information Systems America. Samsung has had a presence in San Jose for more than 20 years. Samsung Semi operates 300,000-square-foot R&D facility there now. Local governments gave Samsung plenty of tax cuts and other incentives. A single line in the agreement calls for the state to provide reimbursement for employee training, with no details of the training required or plans for hiring. The hiring level is expected to be tied to the incentives, though apparently that remains to be worked out. The Mercury News quoted San Jose Mayor Chuck Reed, saying:
"I don't know how big they're going to get or how fast they're going to grow. We haven't seen the plan. But the key thing is they've decided to stay in San Jose and grow in San Jose."
The politicos nevertheless hailed the agreement as a big win for everyone.