The U.S. Department of Commerce announced preliminary terms for $246.4 million in proposed funding under the CHIPS and Science Act to support projects by Analog Devices, Inc. (ADI), Coherent Corp., Intelligent Epitaxy Technology, Inc. (IntelliEPI), and Sumika Semiconductor Materials Texas Inc. These investments aim to expand and modernize semiconductor manufacturing capabilities across Massachusetts, Oregon, Washington, Pennsylvania, and Texas, strengthening the U.S. semiconductor supply chain and bolstering economic and national security.
The proposed funding includes $105 million for ADI to expand facilities in Massachusetts, Oregon, and Washington, adding capacity for advanced packaging and mature-node semiconductor manufacturing while creating up to 500 jobs. Coherent Corp. would receive $79 million to enhance its silicon carbide (SiC) substrate production in Pennsylvania, potentially creating 360 jobs and meeting growing demand for SiC in energy and military applications. IntelliEPI, specializing in compound semiconductor epitaxy wafers, is slated for $10.3 million to expand its Allen, Texas, facility, supporting critical applications in AI, defense, and telecommunications. Sumika would receive $52.1 million to build a greenfield factory in Baytown, Texas, for ultra-high-purity isopropyl alcohol (UHP IPA), a key component in advanced chip manufacturing, creating 290 jobs.
U.S. Secretary of Commerce Gina Raimondo highlighted the strategic importance of these investments: “The proposed projects announced today would bolster semiconductor and materials production across the country and advance America’s technological leadership on the world stage.”
• Analog Devices, Inc. (MA, OR, WA): $105M for facility expansion, supporting mature-node semiconductors and packaging for commercial, space, and defense applications.
• Coherent Corp. (PA): $79M to increase SiC substrate and wafer production for energy and military applications.
• IntelliEPI (TX): $10.3M to expand epitaxy wafer manufacturing for AI, defense, and telecom markets.
• Sumika (TX): $52.1M to build a UHP IPA factory, ensuring domestic supply for chip production.
