The U.S. Department of Commerce said it has provided $458 million in direct funding to SK Hynix to build a $3.87 billion packaging plant and R&D facility in West Lafayette, Indiana. this mechanism It said the website is intended for artificial intelligence products and will fill “a critical gap in the U.S. semiconductor supply chain.” On top of that, it will lend the company up to $500 million — all of which will come from funding provided by the CHIPS Act.
Once completed, the project will allow HBM chips to be manufactured within the United States, which is critical for manufacturing AI chips. TSMC already operates as an Arizona fab (and is acquiring Higher output than similar facilities Taiwan), the United States can produce most components of its most advanced chips within its borders. In addition, it is expected to create 1,000 new jobs in Indiana and even boost research and development through a partnership with nearby Purdue University.
“The bipartisan Chip and Science Act continues to strengthen America’s global technology leadership by investing in companies like SK Hynix and communities like West Lafayette,” said Commerce Secretary Gina Raimondo.
“Through our investment in SK Hynix, the world’s leading maker of high-bandwidth memory chips, and their partnership with Purdue University, we are strengthening the U.S. AI hardware supply chain in a way that no other country on the planet can match, and in Hundreds of jobs created in the United States. Safety“, Raimondo said.
Many companies are Race to get funding from CHIPS Act As Biden prepares to leave the White House. Although there has been no official statement on the fate of the massive investment in U.S. semiconductor manufacturing, there are rumors that Trump wants to end the program.
On the other hand, some experts say Trump may continue the program and even relax some of the more progressive requirements that Democrats included in the law. Regardless, many companies will want to secure funding as early as possible to avoid any uncertainty. As for the future of this federal investment program, we’ll have to wait and see what President Trump does after January 20.