The U.S. Commerce Department announced plans to award $50 million to HP to expand and modernize its existing facility in Corvallis, Oregon.
This funding aims to enhance HP’s capabilities in developing key semiconductor technologies crucial for life sciences instrumentation and AI applications.
This investment aligns with the broader $39 billion U.S. subsidy program for semiconductor manufacturing and related components, authorized by Congress in August 2022. The program also includes $75 billion in government lending and a 25% investment tax credit, estimated at $24 billion.
The proposed funding will specifically support HP’s work in microfluidics and microelectromechanical systems, critical for manufacturing silicon devices used in drug discovery, single-cell research, and cell line development.
Commerce Secretary Gina Raimondo emphasized the significance of this investment for innovation in drug discovery and life sciences.
HP’s CEO Enrique Lores stated that this funding provides a vital opportunity for the company to modernize and expand its microfluidics technology.
The initiative will also benefit partner institutions, including Harvard Medical School, the U.S. Centers for Disease Control and Prevention, and Merck.
This grant is part of a larger effort by the Commerce Department, which has announced term sheets with 17 companies, offering over $32 billion in grants and up to $29 billion in loans, including $6.4 billion to Samsung for expanding chip production in Texas.