WEST LAFAYETTE, Ind. — Plans to build a $1.8 billion semiconductor research, development and manufacturing facility in West Lafayette have been temporarily halted.
Skywater Technology, a Minnesota-based semiconductor manufacturing company, announced Friday that it is not moving forward with its original plan to build a 600-square-foot facility in Purdue University's Discovery Park neighborhood. Once built, the facility was expected to create approximately 750 jobs over the first five years.
When contacted about the development by FOX59/CBS4, a Purdue spokesperson said, “While Skywater has unlocked land-based options, it remains a valuable partner as research opportunities are underway.”
SkyWater Technology originally made this announcement on July 20, 2022, when the company cited increasing demand for domestically produced microelectronics.
In a statement sent to FOX59/CBS4, Skywater Technology said, “Since details of the CHIPS initiative were revealed last year, we have taken the opportunity to re-evaluate our plans to build a new fab in consultation with the State of Indiana. I got it,” he said. “While there are no final plans targeting new factory construction in Indiana, we are focused on providing factory access and production support for emerging strategic technologies and the U.S. microelectronics ecosystem, including Indiana. We will continue to work towards growth.”
The original Purdue press release states that the project is part of the CHIPS for America Act, passed by Congress in 2020 to expand domestic production of semiconductors. It was shown that it was dependent on receiving funds.
This development follows Purdue's recent announcement that South Korean chipmaker SK Hynix intends to invest in building a nearly $4 billion semiconductor facility at Purdue Research Park.
