On September 29, 2023, the National Institute of Standards and Technology’s (NIST’s) CHIPS Program Office unveiled an additional funding opportunity announcement (FOA) for the development, expansion, or modernization of facilities targeting the production and manufacture of semiconductor materials and related manufacturing equipment. The event is significant as up to $500 million will be awarded through this latest FOA, and as stated, this funding round is specifically intended for projects where the capital investment cost does not exceed $300 million. This is part of an ongoing effort to stabilize and grow this pivotal industry.
The FOA is part of the larger Creating Helpful Incentives to Produce Semiconductors (CHIPS) for America Act. The primary aim of this legislation is to bolster the national security by ensuring the United States has a robust, secure, and state-of-the-art microelectronics supply chain. Nonetheless, the CHIPS Act provisions extend beyond just fostering domestic capability but also to re-establish American leadership in semiconductor technology and production.
As per the recent FOA, the eligible entities encompass everything from private corporations, non-profit entities to public and state-owned entities. The projected activities that fall under this consideration include the construction, expansion or modernization of facilities involved in semiconductor technology production and materials manufacture.
The CHIPS Act signals a concerted national strategy to tackle the challenges and capitalize on the opportunities in the semiconductor industry. This new announcement adds further momentum to these ongoing revitalization efforts. As for the applicants, the funding under this FOA presents a significant opportunity to be part of a crucial industry movement and to contribute to a broader national objective.
To learn more about this initiative, more detailed information is available from the original article from Wilson Sonsini Goodrich & Rosati.