Tracking the Progress of the CHIPS R&D Programs

by Alex Gordon, Policy Associate

by Erik Hadland, Director of Technology Policy

Enacted in 2022 to promote U.S.-based semiconductor production and innovation, the CHIPS & Science Act is the most significant federal investment ever made in the U.S. semiconductor industry. While much attention is focused on the CHIPS incentives grant program, the other pillar of the CHIPS Act is also critically important: a substantial, $13 billion investment over 5 years in semiconductor research and development (R&D). The Department of Commerce is responsible for $11 billion, and the Department of Defense is responsible for $2 billion. To assist the industry and other stakeholders in monitoring the progress of the CHIPS R&D Programs, SIA launched today a new resource tracking the progress of these initiatives.

The CHIPS R&D programs include:

• CHIPS National Semiconductor Technology Center (NSTC)
• CHIPS National Advanced Packaging Manufacturing Program (NAPMP)
• CHIPS Metrology Program (Metrology)
• CHIPS Manufacturing USA Institute (MFG USA)
• DOD Microelectronics Commons (ME Commons)

CHIPS R&D funds will be allocated over multiple years and will be used to sustain various initiatives and programs, operate facilities, support funding opportunities, conduct research projects, promote workforce development, and more.

Thus far, the Department of Commerce has committed $5 billion to the NSTC, which will be operated by the National Center for the Advancement of Semiconductor Technology (Natcast) and $3 billion to the NAPMP. There is also an open funding opportunity for up to $285 million for MFG USA to establish the CHIPS Digital Twins Manufacturing USA Institute (SIA is supportive of an effort by the Semiconductor Research Corporation to lead this initiative). The CHIPS Metrology Program will be allocated approximately $519 million, and the program is currently supporting at least 30 ongoing research projects. Meanwhile, DOD has selected the 8 hubs that will serve as leaders of the ME Commons, committing $238 million of their total $2 billion.

Last month, SIA published a set of recommendations to promote the success of the NSTC, and SIA and its member companies look forward to continued engagement with Federal agencies, academic institutions, and other industry stakeholders on all the CHIPS R&D programs.

Together, these programs will drive innovation in the semiconductor industry and beyond, supporting the future of U.S. technology leadership, economic strength, and national security.