US Department of Defense awards $190m contract to SkyWater
The US defense department has agreed a contract with SkyWater Technology and Deca Technologies to expand domestic production of fan-out wafer level packaging (FOWLP) services.
The deal runs over five years and has a value of USD 120 million, although with options that amount could go up to USD 190 million. It is targeted at both government and commercial customers.
The award fits within US efforts to secure its own semiconductor supply chain. Specifically, it is part of the DOD’s Office of the Secretary of Defense Re-shore Ecosystem for Secure Heterogeneous Advanced Packaged Electronics (RESHAPE) scheme.
SkyWater‘s subsidiary in Florida will deploy the new funding to tool up the Center for Neovation semiconductor manufacturing facility in Osceola County. Once completed, the facility will use Deca technology to perform fan-out wafer level packaging. SkyWater is the first domestic licensee of Deca’s M-Series and Adaptive Patterning solutions.
SkyWater CEO Thomas Sonderman said, “This agreement with the county enables SkyWater Florida to execute all aspects of the initial DOD award of up to USD 120 million and stand up our fan-out wafer level packaging capabilities by utilizing Deca’s industry leading technology.”
Tim Olson, CEO of Deca, added: “We’re excited to collaborate with SkyWater on this groundbreaking opportunity to establish an industry leading domestic advanced packaging foundry supporting a secure U.S. microelectronics ecosystem as well as providing commercial customers with a compelling new supply chain option.”