The announcement comes a day after the U.S. Senate voted to move ahead with a slimmed-down version of a legislation, known as the CHIPS Act, to give billions of dollars in subsidies and tax credits for the semiconductor industry.

“This endeavor to bolster our chip fabrication facilities will rely on funding from the CHIPS Act,” says SkyWater CEO Thomas Sonderman,  “Federal investment will enable SkyWater to more quickly expand our efforts to address the need for strategic reshoring of semiconductor manufacturing.”

SkyWater expects the ground breaking for the new facilities to happen in 2023, according to its spokesperson, but the timing would depend on whether the chip legislation is passed.

The Indiana facility will be located on the Purdue campus in West Lafayette.

“Today’s announcement marks a dramatic advance toward multiple strategic goals of Purdue’s last decade: enriched academic and career opportunities for our students; new research possibilities for our faculty; a transformed, more attractive environment on and adjacent to our campus; and the latest demonstration that Purdue and Greater Lafayette are now the hot new tech hub of a growing, diversifying Indiana economy,” says Purdue President Mitch Daniels. “Even for the place that specialises in them, this constitutes a genuine giant leap.”

“We are on the verge of passing a major investment in next generation technologies that is vital for the success of this and future projects, and that will ensure Indiana remains at the center of our high-tech national security economy,” says U.S. Senator for Indiana Todd Young.

SkyWater also has an advanced packaging facility in Kissimmee, Florida which is ramping up production