CHIPS for America Releases Vision for Approximately $3 Billion National Advanced Packaging Manufacturing Program

BALTIMORE — Today, the Biden-Harris administration announced its vision to boost U.S. capabilities for advanced packaging, a key technology for manufacturing state-of-the-art semiconductors. In remarks at Morgan State University, Under Secretary of Commerce for Standards and Technology and National Institute of Standards and Technology (NIST) Director Laurie E. Locascio laid out how the U.S. will benefit from the Department of Commerce CHIPS for America program’s manufacturing incentives and research and development efforts. In particular, approximately $3 billion in funding for the National Advanced Packaging Manufacturing Program will be used to drive U.S. leadership in advanced packaging. An initial funding opportunity for this program is expected to be announced in early 2024. Supporting innovation and keeping the U.S. at the forefront of new research is a critical part of the president’s Investing in America agenda.

“Making substantial investments in domestic packaging capabilities and R&D is critical to creating a thriving semiconductor ecosystem in America. We need to make sure new leading-edge chip architectures can be invented in our research labs, designed for every end-use application, manufactured at scale and packaged with the most advanced technologies. This new vision for advanced packaging will enable us to implement President Biden’s Investing in America agenda and make our country a leader in leading-edge semiconductor manufacturing,” said Secretary of Commerce Gina Raimondo. 

“Within a decade, we envision that America will both manufacture and package the world’s most sophisticated chips,” said NIST Director Laurie E. Locascio. “This means both onshoring a high-volume advanced packaging industry that is self-sustaining, profitable and environmentally sound, and conducting the research to accelerate new packaging approaches to market.” 

To outline the vision, CHIPS for America published “The Vision for the National Advanced Packaging Manufacturing Program” (NAPMP), which details the vision, mission and objectives for the advanced packaging program created by the bipartisan CHIPS and Science Act. 

The NAPMP is one of four CHIPS for America R&D programs that together are establishing the innovation ecosystem needed to ensure that American semiconductor fabrication facilities, including those funded by the CHIPS Act, produce the world’s most sophisticated and advanced technologies.

Advanced packaging is a cutting-edge design and manufacturing method that places multiple chips with a variety of functions in a densely interconnected two- or three-dimensional “package.” This design paradigm can help the sector achieve the ever denser, smaller dimensions that the most advanced semiconductors require. Advanced packaging requires an interdisciplinary approach that brings together chip designers, materials scientists, process and mechanical engineers, measurement scientists, and many more. It also requires access to resources such as advanced packaging facilities. Currently, the United States is limited in both conventional and advanced packaging capacity. 

Developing these advanced packaging capabilities in the United States is a key step in furthering the country’s technological leadership and economic security. Therefore, the CHIPS for America R&D programs will support the development of advanced packaging technology in the United States that can be deployed to manufacturing facilities, including recipients of CHIPS manufacturing incentives. 

The approximately $3 billion program announced today will be dedicated to activities that include an advanced packaging piloting facility for validating and transitioning new technologies to U.S. manufacturers; workforce training programs to ensure that new processes and tools are capably staffed; and funding for projects that focus on:  

• materials and substrates,
• equipment, tools and processes,
• power delivery and thermal management,
• photonics and connectors,
• a chiplet ecosystem, and
• co-design for test, repair, security, interoperability and reliability. 

The document released today is intended, in part, to provide more details of the NAPMP vision to the packaging community in advance of future funding opportunities. The department anticipates announcing the NAPMP’s first funding opportunity — on materials and substrates — in 2024. Additional announcements about the investment areas, including a packaging piloting facility, will follow. 

“The National Advanced Packaging Manufacturing Program will work closely with all of CHIPS for America’s R&D programs like the National Semiconductor Technology Center (NSTC), as well as with our partner federal agencies,” said CHIPS Research and Development Director Lora Weiss. “Together, these powerhouse research programs will support technology innovation so advanced that semiconductor manufacturers will choose to invest in America and our onshore packaging capabilities.”

CHIPS for America’s Subramanian Iyer, director of the NAPMP, will provide a briefing about the program’s vision, strategy and next steps on Nov. 27, 2023, at 3 p.m. ET. Webinar participants must register in advance.

About CHIPS for America  

CHIPS for America is part of President Biden’s economic plan to invest in America, stimulate private sector investment, create good-paying jobs, make more in the United States, and revitalize communities left behind. CHIPS for America includes the CHIPS Program Office, responsible for manufacturing incentives, and the CHIPS Research and Development (R&D) Office, responsible for R&D programs. Both offices sit within the National Institute of Standards and Technology (NIST) at the Department of Commerce. NIST promotes U.S. innovation and industrial competitiveness by advancing measurement science, standards and technology in ways that enhance economic security and improve our quality of life. NIST is uniquely positioned to successfully administer the CHIPS for America program because of the bureau’s strong relationships with U.S. industries, its deep understanding of the semiconductor ecosystem, and its reputation as fair and trusted. Visit chips.gov to learn more.