Commerce Department Announces First CHIPS Grant Recipients
Last updated April 25, 2024
The CHIPS Act’s manufacturing incentives have sparked substantial investments in the U.S. In fact, companies in the semiconductor ecosystem have announced dozens of new projects across America—totaling nearly $450 billion in private investments—since the CHIPS Act was introduced. These announced projects will create more than 56,000 jobs in the semiconductor ecosystem and support hundreds of thousands of additional U.S. jobs throughout the U.S. economy.
Thus far, the CHIPS Program Office (CPO) has announced $29.337 billion in grant awards and up to $25.1 billion in loans to 7 companies across 16 projects in 10 states. These projects include total investment of at least $347.5 billion over two decades, with the vast majority invested by 2030. The projects are also expected to create over 100,000 new jobs – over 33,000 manufacturing jobs and over 75,000 construction jobs. Dozens of additional award announcements are expected in the months ahead. The announcements thus far are for a preliminary memorandum of terms (PMTs), which is a non-binding agreement between companies and the CHIPS Program Office. A due diligence stage follows a PMT, after which funds will be disbursed.
SIA looks forward to working with the Commerce Department to ensure the CHIPS Act is implemented in an effective, efficient, and timely manner. Doing so will help reinvigorate U.S. chip production and innovation and deliver major benefits for America’s economy, job creation, national security, supply chain resilience, and technology leadership.
SIA will update this webpage with the latest developments in the CHIPS incentives program as new announcements are made regarding awards to commercial fabrication facilities, facilities for the manufacturing of semiconductor equipment and materials, and R&D facilities.
