Biden-Harris Administration to Invest Up to $1.6 Billion to Establish and Accelerate Domestic Capacity Advanced Packaging

As part of President Biden’s Investing in America agenda, the U.S. Department of Commerce announced a $1.6 billion CHIPS for America program to enhance domestic semiconductor advanced packaging capacity through cooperative agreements with industry and academia. Secretary of Commerce Gina Raimondo emphasized that advanced packaging is crucial for job creation and U.S. leadership in semiconductor manufacturing. Driven by AI applications, this initiative aims to improve system performance, reduce costs, and increase chiplet reuse. The National Advanced Packaging Manufacturing Program seeks to establish a domestic packaging sector capable of packaging advanced node chips within a decade. Arati Prabhakar highlighted that investing in R&D for advanced packaging will ensure the U.S. semiconductor industry thrives now and in the future.