Governor Greg Abbott on Nov 14th, announced that the first Texas Semiconductor Innovation Fund (TSIF) grant of $4,120,000 has been extended to Intelligent Epitaxy Technology, Inc. (“IntelliEPI”) for their new 30,000-square-foot wafer production facility in Allen, Texas, which is expected to create more than $41 million in capital investment and nearly triple the company’s annual wafer production. Governor Abbott signed into law the Texas CHIPS Act last year, establishing the TSIF as well as the Texas Semiconductor Innovation Consortium.

“Texas is the No. 1 state for semiconductor manufacturing, leading the nation as the top exporter of semiconductors and other electronic components for the last 13 years,” said Governor Abbott. “I congratulate IntelliEPI on this $41 million investment in a new wafer production facility in Texas, nearly tripling their annual wafer production and contributing millions to the Texas economy. Thanks to companies like IntelliEPI, Texas will continue to lead the nation in critical semiconductor manufacturing capacity while developing the technologies of tomorrow.”

IntelliEPI manufactures and sells epitaxy-based compound wafers that are used in telecommunications, photonics, radio frequency and microwave technologies, and other high-performance applications. As the only domestic manufacturer of epitaxy-based compound wafers, IntelliEPI will further modernize their epitaxy reactors in Texas—the state where they first incorporated the technology.

“This TSIF award underscores the critical importance of our advanced compound wafer technologies, along with TSIF’s strategic goals for semiconductor innovation,” said Dr. Yung-Chung Kao, IntelliEPI’s CEO and Chairman of the Board. “The funding will not only expand our production facilities but also solidify the State of Texas’ position as a key hub for compound wafer manufacturing, a critical need for America’s national and economic security.”

"As the Senate sponsor of the Texas CHIPS Act, I am proud to have played a pivotal role in establishing the TSIF, which is now catalyzing significant investments like IntelliEPI's new facility,” said Senator Joan Huffman, Chair of the Senate Finance Committee. “This fund not only supports job creation and economic growth but also fortifies Texas's leadership in semiconductor innovation, ensuring our state's prosperity for generations to come."

“I’m proud of the work the Texas Semiconductor Innovation Consortium has done to support Texas-based companies," said Dr. Greg Bonnen, Chair of the House Appropriations Committee. "This grant will assist IntelliEPI in expanding fabrication and allow them to continue to lead the market in wafer production.”  

“Texas means business when it comes to securing the future for technological advancement," said Senator Angela Paxton. "I am thrilled to welcome IntelliEPI to Allen.”

View more information about IntelliEPI.

The Texas Semiconductor Innovation Fund (TSIF) is a new incentive program to encourage the continued leadership of Texas in semiconductor research, design, and manufacturing. The TSIF was established in June 2023 when Governor Abbott signed into law the Texas CHIPS Act (House Bill 5174), establishing the TSIF as well as the Texas Semiconductor Innovation Consortium. These programs, administered by the Texas CHIPS Office, a newly formed division within the Governor’s Economic Development & Tourism Office, are designed to leverage Texas’ investments in the semiconductor industry, encourage semiconductor-related companies to expand in the state, further develop the expertise and capacity of Texas institutions of higher education, and maintain the state’s position as the nation’s leader in semiconductor manufacturing.