The Department of Commerce announced on Jan. 6 that it finalized $285 million in CHIPS for America funding for developing and operating a new semiconductor development facility in North Carolina that will take a “digital twins” approach.
The definitive funding agreement with the Semiconductor Research Corporation Manufacturing Consortium Corporation (SRC), finalizes a preliminary agreement announced in November.
SRC will use the new funding to help build the SMART USA institute, known as Semiconductor Manufacturing and Advanced Research with Twins USA, in Durham, N.C., where it will use digital twin approaches to expedite the development and validation of next-generation semiconductor manufacturing.
Initial plans for SMART USA were announced by the White House in May after releasing a notice of funding opportunity for the project.
Signed into law in August 2022 by President Biden, the CHIPS and Science Act makes up to $52 billion of funding available to incentivize semiconductor manufacturers to establish new manufacturing operation in the United States.
“Digital twin technology opens the door for unparalleled opportunities for manufacturers to collaborate with researchers to develop and produce the next frontier of technological advancements in the semiconductor industry,” said Secretary of Commerce Gina Raimondo in a statement. “Thanks to this CHIPS investment, SMART USA will bolster collaboration within the semiconductor ecosystem while expanding training opportunities for the industry’s growing workforce.”
According to the Commerce Department, digital twins are virtual models that replicate physical objects and can be used to design, develop, and test processes before deploying them. This enables engineers and researchers to iterate on design changes faster and test them in a simulated environment, while also harnessing artificial intelligence to optimize manufacturing components.
The initial $285 million will lead to an estimated $1 billion of combined total investment with a performance period of five years. Within the five-year period, the Commerce Department said it will address challenges relevant to digital twins, reduce semiconductor development and manufacturing costs, reduce development cycle times, reduce emissions, and train and educate more than 110,000 workers and students.
“The awarding of the CHIPS Manufacturing Institute is a reminder of the power of collaboration, the importance of ambitious research and development, and the enduring impact from both education and disciplined imagination,” Todd Younkin, the executive director of SMART USA, said in a statement.
