Coherent Announces CHIPS Act Expansion of InP Semiconductor Facility in Sherman, Texas

Coherent Corp. announced on June 16 that it has signed a Letter of Intent to receive up to $50 million in direct CHIPS and Science Act funding from the U.S. Department of Commerce to expand its 6-inch Indium Phosphide (InP) semiconductor manufacturing facility in Sherman, Texas.

Optical networking for AI datacenters

The investment will support growing demand for optical networking technologies that power AI datacenters and reinforce Coherent’s partnership with NVIDIA.

Double the space, four times the wafers

The expansion will double manufacturing production space and quadruple wafer production capacity.

More than 1,000 jobs

At project completion, the Sherman site is expected to create more than 1,000 jobs, including more than 550 direct advanced manufacturing, engineering, and technical roles.

Building blocks of AI infrastructure

Jim Anderson, Chief Executive Officer of Coherent, said:

“AI is transforming our world and driving a new era of American manufacturing to build the infrastructure that will power the AI datacenters of the future. Semiconductor photonic devices are essential building blocks of AI infrastructure, enabling the high-speed connectivity required to move unprecedented amounts of data between processors, memory, and systems.”