SAINT PAUL, Minn., Dec. 06, 2024 (GLOBE NEWSWIRE) -- The Biden-Harris Administration today announced that the U.S. Department of Commerce signed a preliminary memoranda of terms (PMT) under the CHIPS and Science Act to provide up to $16 million in proposed direct funding to SkyWater Technology Foundry, Inc. to modernize its facility in Bloomington, Minn.
A milestone for the Minnesota CHIPS Coalition, this preliminary announcement is the second for a Minnesota-based semiconductor manufacturer, following the $525M announcement for Bloomington-based Polar Semiconductor in May.
The bipartisan 2022 CHIPS Act encourages semiconductor manufacturing in the United States by investing $50 billion to bolster the nation’s production of advanced semiconductors, used in many electronics from phones and computers to electric vehicles and weapons systems, as well as boosting America’s semiconductor research and development sector.
“We built the Minnesota CHIPS Coalition to help Minnesota semiconductor companies win federal CHIPS funding and secure our region’s role as a national leader in this strategic global industry,” said Peter Frosch, president and CEO of the GREATER MSP Partnership. “This announcement demonstrates that Minnesota’s collaborative approach—to bring industry, academia and government together around a shared opportunity—is creating more good jobs and accelerating our region’s innovation economy.”
Latest win for the Minnesota CHIPS Coalition
This landmark investment in SkyWater Technology represents another major win for a member of the Minnesota CHIPS Coalition. The coalition was formed by the GREATER MSP Partnership in late 2022 after the passing of the federal CHIPS and Science Act. Composed of more than 70 organizations, including manufacturers, supply-chain partners, education and training providers, labor organizations, and state and local governments, the coalition is working together to supercharge the state’s already robust semiconductor and microelectronics industry.
Collaborations like the Minnesota CHIPS Coalition underscore the strength, vitality and global significance of the Minneapolis–Saint Paul regional economy. “Our region is collaborating at scale to tackle some of our greatest national and global challenges, including renewing the competitiveness of America’s semiconductor industry while ensuring our economic security and creating good jobs,” Frosch said. “Our ability to create collaborative solutions is a competitive advantage that’s enabling us to become the problem-solving capital of the new economy.”
SkyWater’s win validates the work of the Minnesota CHIPS Coalition over the last two years, including the development of a workforce partnership, an employer-led workforce group made up over 20 microelectronics employers, educational institutions, training providers and governmental agencies working together to implement solutions that will increase the semiconductor and microelectronics talent pool in Minnesota. The CHIPS workforce partnership meets regularly to facilitate stronger collaboration among microelectronics employers, educational institutions, training providers and community-based organizations. Funding from the Minnesota Department of Employment and Economic Development (DEED), including Drive for 5 Initiative competitive grants and the Minnesota Job Skills Partnership, has been instrumental to advancing these workforce initiatives.
Bold vision for Minnesota’s semiconductor industry
The Minnesota CHIPS Coalition seeks to make Minnesota a top-10 leader for semiconductor learning, development and manufacturing, adding 10,000 more jobs to an industry critical to national and economic security.
The Minnesota CHIPS Coalition was successful in its effort to position the need for financial support from the State of Minnesota with the passing of the Minnesota Forward Fund during the 2023 legislative session, including dedicated state-matching funds for federal CHIPS awards.
Investments from federal and state agencies boost Greater MSP’s ability to deliver economic growth, technological innovation and inclusive job development. “Federal investments like this one are key to the growth of our regional and state economy, driving technology development and building prosperity for all Minnesotans,” Frosch said. “Thanks to dedicated state-matching funds through the Minnesota Forward Fund, the region’s semiconductor industry is scaling.”
About the GREATER MSP Partnership
GREATER MSP is the economic development partnership for the 15-county Minneapolis Saint Paul region. GREATER MSP is a coalition of more than 4,500 individuals from more than 300 leading businesses, universities, cities, counties and philanthropic organizations working together to accelerate competitiveness and inclusive economic growth of the 15-county Minneapolis–Saint Paul region while leading the nation in tackling the most difficult challenges of the new economy. For more information, go to greatermsp.org.
Media Contact
Don Ball
GREATER MSP
612-810-3153
don.ball@greatermsp.org
