< Previous154 NOVEMBER 2018 SI T E S E L E C T IO NA place made famous by the Civil War has once again made history, only this time the winners are investors in automotive innovation and the engineers who deliver it.Manassas, Virginia, site of two landmark battles in the War Between the States, ushered in a new era on August 29 when Micron Technology Inc. announced that it will invest $3 billion and hire 1,100 workers over 15 years to increase memory production at its plant in the city 40 miles (64 km.) west of Washington, D.C. The average annual wage will be close to $100,000 plus benefits.As part of the expansion, which Gov. Ralph Northam called the largest private capital investment ever in Virginia by a private company, Micron will establish a global R&D center in Manassas for memory and storage solutions mainly focused on automotive, industrial and networking markets. About 100 product engineers will work at this new center.“Micron’s Manassas site manufactures our long-lifecycle products that are built using our by RON S TARNERr on. s t ar ner @ site s ele c tion.c omST A TE SPO TLIGHTVirginiaHow Micron chose Virginia for a $3-billion semiconductor project after a global search.Cashing in Their ChipsCashing in Their ChipsMicron broke ground in August on what one economic development leader calls “the most coveted type of project in the world.”Photo courtesy of City of Manassas158 NOVEMBER 2018 SI T E S E L E C T IO Nmature process technologies, and primarily sold into the automotive, networking and industrial markets,” said Micron President and CEO Sanjay Mehrotra. “These products support a diverse set of applications such as industrial automation, drones, the Internet of Things and in-vehicle experience applications for automotive.”These products are used in everything from lane-assist technology to safe braking. In fact, two out of every three chips installed in automobiles around the world are produced at the Micron factory in Manassas. Mehrotra, speaking of the importance of the Manassas plant to Micron, recently told Reuters: “Think of the automobiles of the future as data centers on wheels.”The Virginia Economic Development Partnership worked with the City of Manassas and the Virginia General Assembly’s Major Employment and Investment (MEI) Project Approval Commission to win this competitive project. Boise, Idaho-based Micron will be eligible to receive an MEI custom performance grant of $70 million for site preparation and facility costs, conditional upon approval by the General Assembly.Additionally, the City of Manassas, Dominion Energy and other entities agreed to provide a broader and more comprehensive package to enable the expansion, including substantial infrastructure upgrades and additional incentives.Asian Giants Made Their Best OffersJapan, China, Singapore and at least one other U.S. state competed intensely and offered (continued on 162)Micron chips help make cars smarter, but Virginia’s work in autonomous vehicles was already advancing. Below, TORC Robotics CEO and co-founder Michael Fleming stands in front of two self-driving cars and the company’s growing HQ in Blacksburg, Virginia.Photo courtesy of TorcA Torc vehicle travels the streets of Las Vegas in early 2018.Photo courtesy of Torc160 NOVEMBER 2018 SI T E S E L E C T IO NA topping out ceremony took place September 28 at the Virginia Tech Carilion Biomedical Research Addition in Roanoke. Scheduled to open in 2020, the 139,000-sq.-ft. (12,913-sq.-m.) building is the latest addition to the Virginia Tech Carilion Health Sciences and Technology Campus, housing the Virginia Tech Carilion (VTC) Research Institute, the Virginia Tech Carilion School of Medicine and the out-patient clinical operations of Carilion Clinic. The facility will add to VTC’s interdisciplinary research efforts and serve as a model facility for experiential learning for students from all colleges of the university. And it will add to the burgeoning medical services cluster taking shape in Western Virginia’s Star City.VTC is a central component of the Roanoke Innovation Corridor, which in addition to the Virginia Tech and Carilion assets includes the Radford University Waldron College of Health and Human Services and the RAMP Regional Accelerator. Much of this infrastructure didn’t exist a dozen years ago, and all indications are that much more will exist a dozen years in the future. “When faculty visit the Virginia Tech Carilion Research Institute for the first time, they see we have world-class equipment and facilities dedicated to their research, a wonderful partnership with Carilion Clinic with its collaborative medical community and a location in a charming, mid-sized city with cultural amenities, natural beauty A HEALTH SCIENCES CAMPUS EXPANDS IN ROANOKE, ADDING AN ONRAMP TO THE VALLEY’S ‘INNOVATION CORRIDOR’ The Roanoke River and downtown RoanokePhoto courtesy of Roanoke Regional Partnership by MARK ARENDmar k .ar end@ site s ele c tion.c om(continued on 162)162 NOVEMBER 2018 SI T E S E L E C T IO Nsignificant incentives to woo this prized project, but insiders who were privy to the final deal said the $20.3-billion global company found the greatest comfort level in Virginia.“This is the biggest project that the state has worked on since VEDP was created, and one of the biggest manufacturing projects in state history,” says Stephen Moret, president and CEO of VEDP. “We were super-engaged with Micron for many months. I have spent more time with Micron than any other company this year.”The entire site selection process lasted approximately a full year as multiple countries and U.S. states made their offers. Negotiations began to heat up early in 2018 as Gov. Northam, Moret and other state and local leaders in Virginia stepped up their involvement.“We were heavily engaged with Micron from February through the time of the announcement,” Moret says. “The local partners, including the mayor of Manassas and Patrick Small, head of economic development for the city, provided tremendous leadership as well.”Moret adds that “this is the most coveted type of project in the world. Offers from other states will be roughly half a billion dollars for projects like this. We knew we would need to make a meaningful incentive offer because it was a very competitive project. We got to what we think is a competitive offer. It showed it was a big priority to us.”Small, economic development director for the City of Manassas, says several location factors proved critical: an improving U.S. economy, a highly trained and competitive workforce, a desire by Micron to have production closer to home “where they can completely control and verify chain of custody on all products,” and the ability to attract and retain top talent.“Micron has always told us that the Manassas workforce is their most productive,” says Small of the firm that employs 34,100 workers worldwide. “It is nowhere near their cheapest workforce, but they are very happy with the performance level of their workers in Northern Virginia.”Plus, he adds, “the city controls its own water supply. We own a lake. We treat and we transmit. That was a big factor in why the plant was located here in the first place more than two decades ago. This plant is a very intensive water user.”The factor that sealed the deal, notes Small, was the company’s relationship with the community. and a low cost of living,” says Hal Irvin, Ph.D., associate vice president for health sciences and technology outreach. “They recognize they can have a successful career and be happy in a place where it’s easy to build productive relationships and enjoy a high quality of life. As faculty for Virginia Tech, the largest research university in Virginia, they can access a wealth of talent. We believe these same factors will lead technology, biotech and medically oriented companies to locate near our campus in the Roanoke Innovation Corridor.”Innovation’s Economic Impact It’s not too soon to quantify the benefit this medical and innovation infrastructure is producing in the Roanoke Valley, says Beth Doughty, executive director of the Roanoke Regional Partnership.“The economic impact of the Virginia Tech Carilion Health Sciences and Technology Campus is already growing in size and importance,” she relates. “Today, the campus supports nearly 1,700 high-tech jobs; that number is forecast to climb to more than 3,100 by 2026.” The Innovation Corridor’s economic output will increase from $214 million this year to $465 million in only eight years, Doughty points out. Similar growth is expected in the areas of funded research, student population and start-ups. “The entire Roanoke Innovation Corridor comes into play to accommodate the commercial, residential and spin-off growth that is already being spawned at the health sciences and technology campus. We see today the beginning of a long-term plan for transformation of the region’s economy.”(continued from 158)(continued from 160)Photo by Mark ArendNext >