U.S. Chipmakers' Profits Endanger the Environment.

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Least discussed is the environmental impact of the legislation. The bill aims to inject $52 billion into an industry that consumes energy and produces toxic waste. And this comes at a time when the global surge in demand for chips has led to increased corporate pollution.

The European Union has proposed about $43 billion for its own chip legislation to fund a building boom for the world's largest chip makers. New projects from $Intel (INTC.US)$ , $SAMSUNG EL 144 (SSNGY.US)$ and $Taiwan Semiconductor (TSM.US)$ are about to spring up in Germany, Ohio small and Arizona.

A review of the companies' corporate, responsibility reports shows that their energy and water use is already at ten liters. In a line that is not newly developed, this is not surprising, but chipmakers like Intel have vowed to cut emissions and water use. Keeping hazardous waste out of landfills is another challenge. Rushing to increase production will only make it more difficult.

Some projections suggest that the industry will double in size in the next decade, meaning that efforts to mitigate this impact will need to be accelerated. In the absence of pressure from governments, which will largely depend on the chipmakers themselves, the extent to which this expansion translates into environmental damage.

Making semiconductors is a complex, day-to-day expensive business that becomes more difficult as it conflicts with the laws of physics. Chipmakers operate large factories that operate 24/7, aiming to reap billions of dollars in returns before the equipment becomes obsolete. Machinery typically has a life expectancy of less than a decade.