Nokia will help accelerate U.S. semiconductor production

After a steady outflow of production and technology to the world’s largest manufacturing plant, the old world found itself vulnerable to potential chip shortages in the face of sudden geopolitical shifts. In response, both Europe and the United States are intensifying efforts to revive chip manufacturing on their own turf, aiming to reduce dependence on chips sourced from the Far East.

However, this endeavor requires substantial funding, and the United States is not wasting any time. Nokia is set to play a significant role in this endeavor as it has recently joined the Northeast Microelectronics Coalition (NEMC) Hub—an innovation initiative spearheaded by MassTech. They have secured funding through the “CHIPS and Science Act” to strengthen microelectronics production for the U.S. Department of Defense.

The funding is significant—it’s creating eight innovation hubs across the U.S., and NEMC is one of them. They’re all focused on technology and supported by innovators with a shared mission to enhance the U.S.’s role in microelectronics.

The Department of Defense is injecting $238 million into this effort, the largest portion from President Biden’s CHIPS and Science Act. The goal is to strengthen our supply chain, enhance national security, and keep the U.S. at the forefront of technology.

With $2 billion allocated from 2023 to 2027, the Microelectronics Commons program aims to bridge the gap between research and chip production. It will accelerate domestic hardware development, reduce supply chain vulnerabilities, and ensure access to cutting-edge technology while reducing reliance on foreign microelectronics.

Nishant Batra, Chief Strategy and Technology Officer at Nokia, is excited about this. Nokia plans to leverage its R&D expertise to boost semiconductor production in the U.S., ensuring access to top-tier semiconductors and resilience against potential supply chain challenges.


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