Over 300 Companies Want a Piece of the CHIPS Fund

(Image credit: Shutterstock)

Over 300 semiconductor companies are seeking to get support from the U.S. CHIPS and Science Fund, according to a Bloomberg report that cites data from the U.S. Department of Commerce. Only a relatively small number of these companies actually produce chips, but without hundreds of other semiconductor supply chain participants, this industry could never function.

The CHIPS Program Office has already received over 300 statements of interest (SOIs) from a variety of applicants from 37 states, an Everglade Consulting report claims. These inquiries include requests for incentives associated chip production, packaging, and R&D facilities, as well as from companies providing raw materials and wafer fab equipment.

The submitted applications detail an array of projects relevant to semiconductor manufacturing. These projects range from provisioning vital materials and chemicals, to building advanced manufacturing hubs, and from the manufacturing of legacy chips for important industry sectors to establishing research facilities centered on new technologies.

The CHIPS initiative, designed to reinvigorate the U.S. semiconductor sector, continues to accept SOIs for all suitable projects, including applications from R&D facilities and from various participants of the semiconductor supply chain.

The team is assessing proposals for the inaugural financing opportunity associated with the establishment of commercial manufacturing facilities, evaluated on a first-come-first-served basis, EverGlade claims, which essentially means that applications from companies like Intel will be reviewed among the first.

The CHIPS and Science legislation enables the U.S. government to grant domestic semiconductor manufacturers approximately $52 billion in subsidies and additional incentives. It also determines a 25% investment tax credit for new manufacturing plants valued up to $24 billion. Furthermore, the law designates more than $170 billion over the upcoming five years for different scientific research endeavors within the United States.

According to the Semiconductor Industry Association, discussions of the CHIPS and Science Act have motivated various companies to invest some $200 billion in the U.S. semiconductor industry.


Anton Shilov
Freelance News Writer

Anton Shilov is a Freelance News Writer at Tom’s Hardware US. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.

  • TechieTwo
    Why wouldn't everyone want a free lunch at tax payer's expense? It certainly increases votes at election time.
  • ezst036
    TechieTwo said:
    Why wouldn't everyone want a free lunch at tax payer's expense? It certainly increases votes at election time.

    Shhhh! Everybody around here loves the lobbyists. Beautiful, lovely lobbyists.