Globalfoundries and SkyWater Technology, u.S. chip makers, said Thursday that they have reached an agreement to produce semiconductor chips for u.S. military production and develop new technologies,media reported.
Headquartered in California, Groffend is owned by the UAE’s sovereign wealth fund. Through some of the plants it acquired in the U.S. in 2015, Groffon dies at U.S. military industries chips. IBM’s chip manufacturing business was acquired by Groffon.
Skywater was spun off from Cypress Semiconductor in 2017 and is headquartered in Minnesota. Last year, Skywater received up to $170 million from the U.S. Department of Defense to develop chips that are resistant to radiation and space travel.
Under the agreement announced Thursday, the two companies will adjust their technology to supply military chips in bulk.
Brad Ferguson, SkyWater’s chief technology officer, said the agreement showed a positive spirit of industry cooperation and helped restore U.S. leadership in semiconductor manufacturing.
Last week, both houses of Congress introduced bills that would give the U.S. semiconductor industry at least $22.8 billion in subsidies, much of which will be used to push for chip manufacturing plants.