Intel has announced a massive investment in US manufacturing and in the state of Ohio.

Chip giant Intel plans to officially announce Friday that it will invest $20 billion to build two computer chip plants in Jersey Township in Licking County in what will be Ohio’s largest economic development project to date. State and local officials are set to gather in Newark this afternoon to celebrate the news.

The factories, called fabs, will employ 3,000 workers at an average salary of $135,000 per year. On top of that, the project is expected to create 7,000 construction jobs and 10,000 indirect jobs. And that’s just the start.

This is big news in so many ways. First, it’s a big step in bringing semiconductor manufacturing back to the United States. This is welcome news for the long-term health of U.S. manufacturing, but also due to the current chip shortage being experienced in many industries.

It’s also a major win for the state of Ohio. Another state offered more incentives, but Ohio offered a more favorable regulatory environment along with an ideal site that offers the opportunity for expansion. The proximity of The Ohio State University is also a major plus, along with the many other respected universities in the state.

This will be Intel’s first new manufacturing site in 40 years. Intel has been expanding production in other U.S. plants but this represents a massive new commitment by the company. The project could eventually include eight factories and $100 billion in investment over the next decade when you factor in Intel and its suppliers and partners. The ripple effects will be huge across the state of Ohio. Construction is expected to start this year with 2025 as the target completion date.

Columbus, Ohio is already booming, and this offers an opportunity for the state capital to become a high tech powerhouse. Intel CEO Pat Gelsinger explained that the site could eventually expand to 2,000 acres with eight fabs, with the new site becoming “the Silicon Heartland.” The benefits will ripple across the state as well. Depressed areas like nearby Akron/Canton could benefit as well, along with other parts of the state. But Columbus can now be a destination location for even more tech companies.