New York Budgets $275M for University at Buffalo’s AI Center

Ayush April 23, 2024

(TNS) — Funding plans for Empire AI, a consortium that will create an artificial intelligence computing center at the University at Buffalo, were confirmed in the newly approved state budget.

Empire AI will receive a $275 million state investment over 10 years as part of the spending plan.

“AI will have a transformational effect on our economy and industries, and these investments ensure that we are using the extraordinary growth opportunity to benefit New Yorkers,” Gov. Kathy Hochul said.

The computer center that will be created at UB will be used by a consortium of seven New York State colleges and universities. The center is designed to have the same hardware, storage and data-crunching abilities as tech giants such as Meta, Google and Microsoft.

Elected officials, academic leaders and economic development officials had pushed for funding for Empire AI — an effort that creates a central role for UB.

“Empire AI is an opportunity for New York to get ahead of the curve on AI development and bring stable, good-paying jobs to the state,” said state Sen. Sean Ryan, D-Buffalo. “Housing the program at UB will make the university even more attractive to the next generation of tech leaders.”

UB President Satish Tripathi said the university is “delighted and honored to be a part of the groundbreaking Empire AI consortium, which will place our region, state and nation at the forefront of the artificial intelligence revolution.”

The $275 million in state funding consists of a $250 million state capital grant and $25 million over 10 years in State University of New York funding. The project also will receive $125 million from partners including the Simons Foundation and Tom Secunda, the co-founder of Bloomberg LP and the Secunda Family Foundation.

The funding of Empire AI was among several economic development initiatives in the 2024-25 spending plan, including some that received new rounds of funding:

$100 million for the Downtown Revitalization Initiative. Participating communities are nominated by the state’s 10 regional economic development councils; each winning community is awarded funding to develop a downtown strategic investment plan and implement key projects.

The City of Tonawanda was recently awarded $10 million through the program.

$100 million for New York Forward. The program is similar to the Downtown Revitalization Initiative, but aimed at smaller and rural communities.

The Town of Aurora and Gowanda were recently awarded $4.5 million each through the program.

$100 million for FAST NY. The grants awarded through the program are designed to prepare and develop sites to increase their appeal for large-scale economic development projects in areas such as manufacturing, logistics and distribution. The new funding follows a $200 million commitment to the program made in 2022.

$50 million for Restore New York. The program provides municipalities with financial assistance to revitalize commercial and residential properties. The redevelopment of the Commodore Perry Homes is a past recipient of Restore New York funding.

$150 million in new capital grants and $75 million in new Excelsior tax credits to fund projects coordinated and planned by regional economic development councils around the state.