CHIPS Act cash for HP to adapt inkjet tech for life sciences
HP Inc is in line for $50 million from the US CHIPS Act fund for a microfluidics facility it operates to develop technology for applications such as cell research and pharmaceutical development.
The PC and printer maker has signed a non-binding preliminary memorandum of terms (PMT) with the US Department of Commerce for up to $50 million in direct funding to support the expansion and modernization of its microfluidics semiconductor fabrication plant located in Corvallis, Oregon.
This facility is described as being part of the company’s “lab-to-fab” ecosystem in the region, covering research and development activities as well as a commercial manufacturing operation. The investment is expected to create nearly 150 construction jobs and over 100 manufacturing jobs at the site.
According to the Commerce Department, it hopes to build on HP’s expertise in microfluidics and microelectromechanical systems (MEMS), technologies it developed for inkjet printers, and adapt these for other purposes. The funding will support manufacturing of silicon devices to form key components of lab equipment used for drug discovery, single-cell research, and cell line development.
Secretary of Commerce Gina Raimondo said the move was to ensure the US continued to lead the world in breakthroughs that require advanced semiconductor technology.
“The Biden-Harris Administration’s proposed investment in HP shows how we are investing in every part of the semiconductor supply chain and how important semiconductor technology is to innovation in drug discovery and critical life science equipment,” she commented.
HP president and CEO Enrique Lores welcomed the announcement.
“This proposed investment provides HP with an opportunity to modernize and expand our facility to further invest in our microfluidics technology, which is the study of the behavior and control of fluid on a microscopic scale,” he said.
“Microfluidics has the potential to drive revolutionary changes across industries, delivering speed, efficiency, and precision, to help pave the way for the next generation of innovation in life sciences and technology.”
HP said its Corvallis campus is open to collaborative R&D efforts with academic institutions and startups, highlighting a 25-year lease of part of the site to Oregon State University (OSU). The facility has incubated 39 different companies, including 20 that spun out from OSU faculty and students, it claimed.
Local news outlet Oregon Live reports that Corvallis was once among HP’s biggest sites, with 10,000 employees, but about three-quarters of those jobs had been lost since the 1990s. The company previously indicated it would bring jobs back to the area if it managed to secure a chunk of the CHIPS Act funding.
HP is set to report its Q3 2024 earnings this week, but its Q2 figures showed net revenue of $12.8 billion, down 0.8 percent on a year earlier. This included $8.4 billion for Personal Systems, up 3 percent, while Printing revenue was $4.4 billion, down 8 percent year-on-year. ®