SMU-led hub receives nearly $29 million for semiconductor projects

The Texoma Semiconductor Tech Hub has secured nearly $29 million in new funding to expand chip manufacturing capabilities and training programs in the region. The allocation includes approximately $24 million from the U.S. Department of Commerce and $4.8 million from other sources.

The hub, led by Southern Methodist University, operates as a coalition spanning 29 counties in North Texas and southern Oklahoma. It is one of 31 regional tech hubs established by the Commerce Department in 2023 and one of four focused specifically on semiconductors. The new money will be directed toward building shared infrastructure, educating workers, and helping companies bring chip technology to market.

Of the federal portion, $13 million is designated for developing shared semiconductor infrastructure and creating specialized prototyping facilities known as fablets. These fablets serve as smaller, less expensive alternatives to full-scale fabrication plants. They will provide researchers and businesses with access to equipment for designing, manufacturing, packaging, and testing chips. An additional $6 million will fund workforce education and training, while $5 million will support entrepreneurs and firms in commercializing new technologies.

J.C. Chiao, an SMU professor of electrical and computer engineering, stated that the funding will help meet critical industry needs as the sector expands in the area. Chiao, who helped form the hub alongside professors Jennifer Dworak and Scott Douglas, said the initiative aims to make the region more competitive for investment and strengthen the domestic supply chain. SMU noted that the fablets will give local companies improved access to funding, industry networks, and intellectual property.

Suku Nair, SMU’s vice provost for research and chief innovation officer, emphasized the importance of closing workforce gaps. The hub plans to use artificial intelligence and digital twin technology in its upskilling programs. Nair said the region must proactively strengthen its talent pipeline to meet current and future industry demands as it attracts new investment from around the world.

The coalition has grown substantially since its formation. Three years after its establishment, the hub reported that its membership more than doubled, rising from 41 to 95 organizations. Partners include major semiconductor firms such as Texas Instruments, GlobiTech, and Coherent. All three companies operate large plants in the Sherman area, and Texas Instruments also manufactures semiconductors in Richardson.

SMU President Jay Hartzell described the federal investment as a demonstration of the university’s ability to combine research, industry, and regional partners. He said the hub offers an opportunity to convert innovation into economic growth and develop the next generation of talent for a key U.S. industry.