SIA Applauds CHIPS Act Incentives for ADI, Coherent
16-01-2025 | By Jack Pollard
The Semiconductor Industry Association (SIA) has praised the latest CHIPS and Science Act incentives announced by the US Department of Commerce. These incentives support significant investments by Analog Devices, Inc. (ADI) and Coherent, aimed at strengthening US semiconductor manufacturing and R&D capabilities.
Key Investments in Semiconductor Infrastructure
ADI plans to expand and modernise its advanced R&D facility and manufacturing sites in Massachusetts, as well as its fabrication facilities in Oregon and Washington. Meanwhile, Coherent will focus on scaling up wafer production at its Pennsylvania facility. These investments will enhance domestic semiconductor packaging, mature node manufacturing, and wafer production—all critical components for a resilient supply chain.
John Neuffer, President and CEO of SIA, described the announcement as a “big win for American supply chain security, manufacturing, and economic strength.” He emphasised the role of these initiatives in creating jobs, boosting innovation, and safeguarding national and economic security.
The CHIPS Act’s Broader Impact
Since the CHIPS Act’s introduction, companies in the semiconductor ecosystem have announced 90 new projects across 28 US states, totalling hundreds of billions of dollars in private investments. These projects are expected to create over 58,000 jobs within the sector and support hundreds of thousands of additional jobs throughout the US economy.
An SIA and Boston Consulting Group report projects that the US will triple its domestic semiconductor manufacturing capacity between 2022 and 2032. This 203% growth is forecast to be the largest percentage increase globally, with the US capturing 28% of total global capital expenditures in semiconductor manufacturing from 2024 to 2032.
Building a Resilient US Semiconductor Ecosystem
The CHIPS Act has been a catalyst for revitalising America’s semiconductor industry, ensuring it remains a cornerstone of innovation, economic growth, and national security. The US Department of Commerce continues to drive these efforts with incentives for projects that enhance the domestic semiconductor supply chain.
About the SIA
The Semiconductor Industry Association represents 99% of the US semiconductor industry by revenue and two-thirds of non-US chip firms. It works to advance policies that drive innovation, bolster economic strength, and support global competition. Learn more at www.semiconductors.org.
