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27 min ago 2 min read
US semiconductor manufacturer Applied Optoelectronics (AOI) has secured a $20.85m state grant from the Texas Semiconductor Innovation Fund (TSIF) to expand its semiconductor manufacturing site in Sugar Land, near Houston.
AOI will use the fund to increase production of specialised semiconductor chips and transceivers for high-speed fibre-optic communications.
Its technology is used in fibre-optic communications systems that support data centre and network infrastructure development.
The site expansion represents more than $279m in capital investment.
Stefan Murry, CFO and Chief Strategy Officer at AOI, said, “This investment helps us to increase our semiconductor and optical transceiver production… and help to define the future of AI data center infrastructure.”
The expansion supports production of components used in semiconductor manufacturing processes that rely on industrial gases for precision fabrication.
TSIF is administered by the Texas CHIPS Office. The grant programme was established in June 2023, following the Texas CHIPS Act legislation, and has since allocated $948m to support semiconductor research, manufacturing, and design in Texas.
US semiconductor specialist Avant Technology has also recently secured a from TSIF to expand its semiconductor manufacturing site in Pharr, South Texas.
This year, US President Donald Trump said the CHIPS Act funding should be .
