Oregon receives $15 million in federal funding to boost semiconductor industry

“I worked in industry and academia and pursued semiconductor research throughout my career, and I can tell you awards like this are generational,” Oregon State University President Jayathi Y. Murthy said in a virtual press conference. 

Oregon State University founded and leads the statewide coalition. The coalition includes other public universities and community colleges, dozens of economic development and STEM advocacy groups and local governments.

The state’s semiconductor industry, known as the Silicon Forest, has long been at the forefront of Oregon’s economic output. With dozens of tech organizations and companies such as Intel, Nvidia and Analog Devices located in the Beaver State, Oregon exported $11.4 billion worth in computer products in 2025, according to the Office of the U.S. Trade Representative.

But without new investments and incentives for Oregon semiconductor companies, the industry risks losing relevance in an evolving global semiconductor landscape, according to a report from Business Oregon, the state’s economic development agency. 

The two-year funding addresses some of those concerns and will help push the industry forward, said Business Oregon Economist Damon Runberg, who wrote the report.

Oregon officials celebrate new funding

Oregon has some of the most advanced semiconductor design and manufacturing capabilities in the world, according to FAST Interim CEO Rob Stone.

“There are only three places in the world that have such capabilities: one being Taiwan, Korea, and then of course here in Oregon and Hillsboro,” Stone said at the press conference. 

Elected officials, university leaders and technology experts celebrated the funding announcement, saying it will fuel research, economic growth and jobs.

“The fresh federal investment is going to spark growth in a semiconductor workforce that already has 30,000 Oregonians working in it,” said U.S. Sen. Ron Wyden, D-Oregon.

And the new jobs, Wyden said, will be high-paying.

Gov. Tina Kotek said the funding builds on years of intentional work by her administration and the Legislature’s efforts to grow Oregon’s semiconductor industry. 

In 2023, the Oregon Legislature passed a research and development tax credit aimed at supporting the semiconductor industry. Lawmakers that year also created the Oregon CHIPS Fund, a program to administer the $240 million it received under the Biden administration to bolster semiconductor manufacturing. 

“I firmly believe that Oregon will shape the future of the semiconductor industry with our unmatched combination of technical expertise, manufacturing experience, world-class research institutions and our commitment to sustainable innovation,” Kotek said. “We are positioned to lead this industry for decades to come.”

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