Ad
Ad
Ad
Ad
Ad
© Rocket Lab
Business |

CHIPS funding would enable Rocket Lab to expand and create more jobs

Rocket Lab USA, has signed a non-binding preliminary memorandum of terms (PMT) with the Department of Commerce that would see Rocket Lab receive up to USD 23.9 million in direct funding under the CHIPS and Science Act.

The proposed investment would enable Rocket Lab to increase its production of compound semiconductors for spacecraft and satellites, as part of an expansion and modernisation of the company’s facility in Albuquerque, New Mexico. This investment would also create more than 100 direct manufacturing jobs.

Rocket Lab acquired SolAero Technologies in 2022, making Rocket Lab one of only two companies domestically, and three companies outside of Russia and China, that specialise in the production of highly efficient and radiation-resistant compound semiconductors called space-grade solar cells — devices used in space to convert light to electricity. The space-grade solar cells produced at Rocket Lab’s Albuquerque, New Mexico facility power critical space programs such as missile awareness systems and exploratory science missions including the James Webb Space Telescope, NASA’s Artemis lunar explorations, Ingenuity Mars Helicopter, and the Mars Insight Lander. 

This proposed CHIPS investment would help create a more robust and resilient supply of space-grade solar cells. The modernisation and expansion project would also increase Rocket Lab’s compound semiconductor production by 50% within the next three years — helping to domestically meet the growing national security and consumer demand for these solar cells.

In addition to these proposed federal incentives, the State of New Mexico has also committed to providing financial assistance and incentives with a total value of USD 25.5 million to Rocket Lab in support of this effort.

"Semiconductors are central to modern life, to our economy, and to America's future. We are proud to be strengthening that future with the support of the CHIPS Office by expanding our production facilities to meet growing demand for the semiconductors that power the nation's most critical science, defense and commercial space missions," says Rocket Lab founder and CEO, Sir Peter Beck in a press release. "For more than two decades the SolAero team, now part of Rocket Lab, has played a crucial role in the domestic production of semiconductors. This program is a continuation of our commitment to ensuring resilient U.S. supply chains and creating highly productive local jobs."


Ad
Ad
Load more news
June 13 2024 1:49 pm V22.4.55-1