Microchip Technology Inc. Awarded $162 Million Federal Grant for Chip Production Expansion

In an effort to strengthen America’s position in the global semiconductor market and reduce dependency on foreign suppliers, especially China, President Joe Biden signed into law the historic CHIPS and Science Act last year.

Recently, the U.S. Department of Commerce announced that they would award $162 million in grants to Arizona-based Microchip Technology Inc., a prominent player in the semiconductor industry, as part of this initiative.

Microchip Technology plans to use these funds to expand its domestic production capabilities by tripling its output of semiconductors and microcontrollers across two separate locations – its facilities located in both Colorado Springs, CO, and Corvallis, OR.

Secretary of Commerce Gina Raimondo lauded this development, stating that it represents a significant milestone towards achieving self-sufficiency in critical technologies such as semiconductors, which are integral components found in various everyday items ranging from automobiles to household appliances to defense systems.

This investment is expected to create thousands of high-paying jobs throughout the United States while simultaneously bolstering national security interests. Moreover, it sends a strong message that the Biden administration remains committed to revitalizing American manufacturing sectors and promoting innovation across all industries.