The Semiconductor Industry Association (SIA) today issued a statement from President and CEO John Neuffer regarding manufacturing incentives announced by the Commerce Department and Coherent for the expansion of Coherent’s indium phosphide manufacturing facility in Sherman, Texas.
The incentives are expected to create more than 1,000 jobs and expand production capacity for indium phosphide-based photonic devices. These devices serve as essential components in high-speed optical interconnects used in artificial intelligence systems, advanced communications networks, and next-generation data centers.
“SIA applauds the Commerce Department and Coherent for advancing investments that strengthen America’s semiconductor supply chain and reinforce U.S. technology leadership. As AI adoption accelerates, demand for advanced optical technologies is growing rapidly. Expanding domestic production of indium phosphide devices will help bolster supply chain resilience, support innovation, and ensure the United States remains at the forefront of critical semiconductor technologies,” said John Neuffer.
The statement notes that supporting the full ecosystem of chip technologies is essential as policymakers work to strengthen U.S. leadership in AI. SIA said it will continue to work with leaders in Washington on policies that strengthen semiconductor manufacturing, innovation, and supply chain resilience across the United States.





