Indiana Chip Plant Awarded $450M in CHIPS Act Funding

A Korean semiconductor company has secured $450 million from the CHIPS and Science Act to support the construction of a state-of-the-art fabrication and research and development facility in West Lafayette, Indiana.

SK Hynix was awarded the funding by the Commerce Department for the new facility that will specialize in producing high-bandwidth memory chips, designed to handle large volumes of data and complex computations. 

These chips are essential for powering high-performance computing and AI applications. They can process up to 1.18 terabytes of data per second – equivalent to streaming 230 full HD movies at once – making them crucial components in hardware like GPUs.

SK Hynix’s proposed chip plant is anticipated to come online at the beginning of the second half of 2028 and will create around 1,000 new jobs.

As part of its investment commitment, the Korean company would be eligible to claim tax credits of up to 25% on its investments.

In addition to the $450 million in direct funding, the company has access to up to $500 million in loans from the CHIPS Program Office.

Read the rest of this article in AI Business.