Governor Newsom made the announcement in a video and news release overnight.
"California has long been a leader in global technology and future thinking innovation," Governor Newsom said in a statement. "With our state's global talent pool, world-leading universities and research institutions, and top technology companies, it is no surprise California was selected."
The facility is being funded by the Biden-Harris administration's CHIPS and Science Act and will be based in Sunnyvale.
MORE: Here's a look at global impact of Bay Area computer chip industry
"We are thrilled that the Department of Commerce and Natcast chose to locate this critically important facility in Sunnyvale, the heart of Silicon Valley, alongside the world's largest concentration of semiconductor businesses, talent, intellectual property, and investment activity," said Dee Dee Myers, Senior Economic Advisor to Governor Newsom.
Semiconductors are the basis of most electronics, including your computers and cell phones.
The goal of this center is to really ramp up America's ability to design, develop and manufacture semiconductors.
That's been a concern because right now, the US relies on semiconductors made overseas.