The Biden administration today announced approximately $3 billion to fund chip packaging manufacturing in the U.S.
The funds, made possible by the CHIPS and Science Act, will establish a National Advanced Packaging Manufacturing Program to fund new domestic projects in the sector.
The funding will be administered by the Department of Commerce’s National Institute of Standards and Technology, which will establish an advanced packaging piloting facility as well as fund new workforce training programs and other projects.
“Within a decade, we envision a vibrant, self-sustaining, profitable, high-volume, onshore packaging industry where advanced node chips manufactured in the U.S. undergo advanced packaging in the U.S.,” NIST Director Laurie Locascio said in her remarks at Morgan State University on Monday.
For projects in the sector, funding will go towards initiatives focused on the following areas:
- Materials and substrates
- Equipment, tools and processes
- Power delivery and thermal management
- Photonics and connectors
- A chiplet ecosystem
- Co-design for test, repair, security, interoperability and reliability
The national packaging manufacturing program, along with other CHIPS and Science Act incentive programs, will help the U.S. establish a profitable domestic packaging industry, according to the release.
The department expects to announce the chip packaging program's first funding opportunity for materials and substrates next year.
Today’s announcement follows other funds the Biden administration has unveiled for the sector this year. In September, the Department of Commerce opened $500 million in funding for small-scale semiconductor supply chain projects.
And in February, the federal agency opened the first round of CHIPS Act funding for semiconductor manufacturing. The department received more than 460 applications for domestic semiconductor manufacturing and related projects.