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BAE Systems Grows Semiconductor Manufacturing Capacity in New Hampshire With CHIPS Act Funding

BAE Systems' logo. BAE Systems will upgrade its chips factory in New Hampshire
Tech components

BAE Systems is modernizing its Microelectronics Center in Nashua, New Hampshire, to increase semiconductor production capacity and reduce technology costs for defense customers.

The effort is supported in part by the Creating Helpful Incentives to Produce Semiconductors, or CHIPS, and Science Act to support U.S. national security and create job opportunities for skilled American workers, the company said Thursday. 

BAE Systems’ Chips Factory to Get an Upgrade

BAE Systems’ New Hampshire Microelectronics Center, opened in 1984, offers about 110,000 square feet of space for chip fabrication and foundry. The Department of Defense-accredited site specializes in advanced microelectronics for defense and aerospace applications. 

According to the defense firm, the facility is “the only domestic defense-centric six-inch Gallium Arsenide and Gallium Nitride High Electron Mobility Transistor wafer foundries.”

Chips Act Funding 

BAE Systems is one of the recipients of CHIPS and Science Act funding from the Department of Commerce to bolster domestic microelectronics supply chains. 

In December 2023, the company received a $35 million investment for the upgrade of the New Hampshire Microelectronics Center. 

The CHIPS and Science Act, signed into law in 2022 by former President Joe Biden, authorizes investments in initiatives that drive innovation across all areas of science and engineering and support the development and production of secure semiconductors and other emerging technologies.

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Written by Elodie Collins

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