Coherent Invests $50 Million To Expand Semiconductor Manufacturing Facility In Texas
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Coherent has plans to expand its 6-inch Indium Phosphide (InP) semiconductor manufacturing facility in Sherman, Texas. The expansion will support increased production of optical networking technologies used for AI infrastructure. The company, which produces photonic devices, has received a letter of intent for up to $50 million in direct funding under the CHIPS and Science Act from the U.S. Department of Commerce. 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. The expansion will double manufacturing production space and quadruple wafer production capacity at the Sherman facility. The site is home to the world's first and largest volume-production 6-inch InP manufacturing platform, which produces photonic devices used in optical networking components that support AI datacenters. Coherent will add advanced wafer fabrication equipment and cleanroom capacity to increase production of InP-based photonic devices. These devices enable high-speed optical interconnects that move data between processors, memory, and systems inside AI datacenters. The proposed CHIPS funding builds upon approximately $20 million in support previously provided through the Texas Semiconductor Innovation Fund and the Sherman Economic Development Corporation. In a recent quote, Jim...
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