From 35% to 12% in three decades, US chipmaking has declined and is now seeking to rebuild capacity and reduce dependence on overseas suppliers.
US semiconductor share has dropped from over 35% in the 1990s to 12% today. It currently manufactures none of the most advanced chips used in smartphones, autonomous vehicles, quantum computing and AI systems.
The National Semiconductor Technology Center (NSTC) is tasked with advancing innovation and reducing this reliance on foreign suppliers.
Sandia National Laboratories in the US has become the first national lab to join NSTC under the CHIPS and Science Act, aiming to expand domestic semiconductor manufacturing and research.
Sandia has agreed to contribute through its Microsystems Engineering, Science and Applications (MESA) facility and cleanroom capabilities. These resources are used for national security manufacturing and high-reliability microelectronics.
Under the partnership, Sandia will also make some facilities available to NSTC members, enabling technology transfer and supplier development.
The CHIPS Act allocates $3 billion to develop a packaging ecosystem for such assemblies, part of more than $12 billion earmarked for semiconductor R&D. A key area of focus will be chiplet technology, integrating smaller semiconductor modules into larger systems for high-speed, low-energy data transfer.
Industry projections estimate the US will require an additional 60,000 to 70,000 semiconductor workers in the coming years. Sandia plans to engage with STEM talent pipelines to address this shortage.
The US aims to secure more than 25% of state-of-the-art production by 2032. Sandia’s involvement is positioned to strengthen domestic R&D, boost manufacturing resilience and enhance capabilities in both commercial and national security applications.



















