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Project

Pentagon invests $117 million in critical microelectronics

Customers: US Department of Defense (Pentagon)

Washington; MILITARY INDUSTRIAL COMPLEX

Contractors: Globalfoundries


Project date: 2022/05

Content

History

2022: Pentagon invests $117 million in critical microelectronics

In early May 2022, the US Department of Defense signed a contract with GlobalFoundries in the amount of $117 million to strengthen the American production of critical microelectronics. The first chips under this agreement are planned to be delivered in 2023.

As part of a Section III agreement of the Defense Manufacturing Act, GlobalFoundries will move its 45nm silicon-on-insulator (SOI) semiconductor manufacturing process from its Fab 10 plant in East Fishkill to the Fab 8 plant in Malta, NY. In 2022, the company received a reward of $8 million for initial engineering work for transfer, according to a press release from the US Department of Defense .

Pentagon invests $117 million in critical microelectronics

Microelectronics is a key component of the Department of Defense's advanced capabilities, including precision guided munitions, hypersonic weapons and satellites. Pentagon officials are worried about supply chains. Federal agencies, including the Department of Defense, are seeking to strengthen the US industrial production base.

{{quote 'The migration of semiconductor production to the Asia-Pacific region and the subsequent decline in domestic production pose a significant threat to the security and economy of the United States and many allied countries. The deal is part of US efforts to maintain the production capacity of microelectronics needed for national and economic security, said US Secretary of Defense Lloyd Austin. }} Among various initiatives in the field of microelectronics, the Pentagon wants to create regional innovation centers to promote the development of domestic developments. An action plan developed in response to President Biden's decree No. 14017. The Pentagon imagines this community as a public-private partnership, consisting of regional innovation centers located throughout the United States, which will promote innovative ideas and talents located in university laboratories and research groups of small enterprises[1]

Notes

  1. [1]#:~:text=The%20Department%20of%20Defense%20has,microelectronics%2C%20the%20Pentagon%20announced%20Monday Pentagon makes $117M investment to boost domestic manufacturing of critical microelectronics