U.S. Commerce Department Plans $389 Million in R&D Funding for Power Semiconductors and Critical Materials
The U.S. Commerce Department announced on Oct. 22 plans to provide up to $389 million in research and development funding to four companies for power semiconductor devices and critical materials technologies.
The funding is part of the $10 billion semiconductor R&D program approved by Congress in 2022. Helion will receive up to $175 million to develop high-voltage power semiconductors and advanced power modules for fusion power generation. Commonwealth Fusion Systems (CFS) is set to receive up to $85 million for semiconductor technology used in RF plasma heating, power electronics, fusion diagnostics, and radiation-tolerant electronics.
Vertical Semiconductor will receive up to $73 million to develop vertical gallium nitride power semiconductors for AI data center racks. Sibelco North America will receive up to $56 million to develop next-generation ultra-high-purity quartz purification technology and build a demonstration facility in North Carolina.
Commerce Secretary Lutnick said the funding will "accelerate American semiconductor innovation and strengthen domestic energy and power resources." The four awards remain preliminary, with letters of intent signed and final agreements pending. As a condition of the funding, the government will take minority equity stakes in the companies without control or voting rights.
