The $100 million in federal funding for ASU will be paired with an additional anticipated $30 million investment from the private sector, for a total investment of $130 million

TEMPE—Today the U.S. Department of Commerce announced it would award $100 million in CHIPS and Science Act funds to SHIELD USA, the Substrate-based Heterogeneous Integration Enabling Leadership Demonstration for the USA initiative led by Arizona State University. SHIELD USA will drive innovation in the domestic microchip packaging ecosystem, expand capacity for domestic advanced packaging and help regain U.S. leadership in microelectronics while strengthening national security.

“Semiconductors are the foundation for every must-win technology of the future, including artificial intelligence. The U.S. needs to be constantly innovating if we want to compete on the global stage, and there’s no institution better positioned to lead this cutting-edge research and development than Arizona State,” said Rep. Greg Stanton.

“This award further establishes Arizona as the national leader in advanced packaging and leading-edge microchip manufacturing,” said Senator Mark Kelly. “Advance packaging is a key component of the microchip manufacturing process, yet most advanced packaging research and manufacturing occurs overseas. This investment builds upon other investments we’re seeing in Arizona to bring advanced packaging back to the United States. I applaud ASU for their work in developing cutting-edge technologies and their commitment to make Arizona a major player in microelectronics.”

“This is a critical step for U.S. semiconductor independence, and it is the area of expertise in which we are in direct competition with China to determine who will unlock the future of innovation in semiconductor chip manufacturing,” said ASU President Michael Crow. “ASU is well prepared with a dynamic partner in Deca Technologies, and we are eager to lead the work that will enable SHIELD USA to play a pivotal role in ensuring the country’s technological and economic future.” 

Stanton and Kelly led the Arizona delegation in a letter of support for ASU’s application in July of this year.

Background

This is the first of several research and development programs to be launched by the CHIPS National Advanced Packaging Manufacturing Program (NAPMP). This first program, focused on organic materials and substrates, will be a vital part of the broader $11 billion CHIPS R&D program administered by the U.S. Department of Commerce. Advanced substrates are physical platforms that allow multiple semiconductor chips to be assembled seamlessly together, enable high-bandwidth communication between those chips, efficiently deliver power, and dissipate unwanted heat. The advanced packaging enabled by advanced substrates translates to high performance computing for AI, next-generation wireless communication, and more efficient power electronics. Such substrates are not currently produced in the United States but are foundational to establishing and expanding domestic advanced packaging capability.

Arizona State University is leading the charge in developing the next generation of microelectronics packaging through fan-out-wafer-level processing (FOWLP). At the heart of this initiative is the ASU Advanced Electronics and Photonics Core Facility, where researchers are exploring the commercial viability of 300 mm wafer-level and 600 mm panel-level manufacturing, a technology that does not exist in as a commercial capability in the U.S. today. ASU’s team of over 10 partners, led by industry pioneer Deca Technologies, is centered in a regional stronghold for microelectronics manufacturing and is composed of large and small businesses, universities and technical colleges, and non-profits.

This team spans the entire United States with industrial leaders in materials, equipment, chiplet design, electronic design automation, and manufacturing. ASU will establish an interconnect foundry that connects advanced packaging and workforce development programs with semiconductor fabs and manufacturers. ASU’s education and workforce development efforts bring industry-relevant training such as train the trainer, microcredentials, and quick start programs for working professionals. Inclusion of the HBCU CHIPS network and the National Center for American Indian Enterprise Development is integral to their workforce development plan.