U.S. Department of Defense Awards up to $289 Million to Osceola County
Published on November 21, 2023
PR23-110
Osceola County, Florida – In the biggest step yet of a transformative economic journey, Osceola County has been awarded a five-year contract by the Department of Defense with an initial funding allocation of $3.65 million and a spending ceiling of $120 million, which positions Osceola County at the forefront of the nation's efforts to produce next-generation microchips for the U.S. military, simultaneously transforming the lives and fortunes of the community. Notably, the contract offers options for an additional $169 million, potentially resulting in a total award of $289 million.
NeoCity serves as the conduit for changing lives in Osceola County and the region as whole, which is why there has been united support from the business community, academia, and everyday citizens. NeoCity acts as the engine for cultivating a highly skilled workforce, capable of claiming high-paying careers that are being created. This, in turn, augments the tax base and empowers the County to enact essential infrastructure enhancements while improving the overall quality of life.
Nearly a decade ago, Osceola County embarked on a mission to redefine its economic destiny. This mission entailed forging partnerships spanning the local and global landscape, involving leaders in the high-tech industry, academia and influential figures in federal and state government, as well as numerous community partners. This collective endeavor gave rise to NeoCity, a master-planned 500-acre technology campus.
BRIDG and SkyWater Technology are important partners in the journey, including the recent DoD award. The organizations’ leadership is key in the development of NeoCity as a center attracting investment, researchers, and manufacturers from around the world.
With this award, the County’s campus will spearhead the nation’s semiconductor advanced packaging manufacturing – a key component of the United States’s efforts to base next generation microchip manufacturing on the U.S mainland. This award includes components to develop the needed workforce for production and will ultimately lead to more jobs for Osceola County and Central Florida.
The substantial, and strategic, investment of hundreds of millions at NeoCity is yielding tangible results. Just last year, Osceola County and its partners were recipients of a substantial $50.8 million Build Back Better Regional Challenge Grant from the U.S. Economic Development Administration. Furthermore, the County-led coalition has emerged as finalists for a prestigious and lucrative National Science Foundation Regional Innovation Engines grant.
“The Department of Defense’s award is just the latest affirmation that Osceola County's vision and investments in the domestic semiconductor industry are creating opportunities for the workforce of today and tomorrow by generating high-quality jobs. This in turn will benefit the County, so that it can better serve those who live, learn, work and play here,” said Osceola County Commission Chairwoman Viviana Janer. “We are incredibly proud of this award, the recognition, and the confidence the U.S. Government has in our leadership to enhance national security through cutting-edge semiconductor technology.”
The DoD's Cornerstone award carries the potential to infuse Osceola County job creation efforts, heralding a profound community transformation. This shift marks a departure from a historical reliance on agriculture and tourism, charting a path toward a more diversified and prosperous future.
The County and its partners continue to expand capabilities. The coalition behind last year’s Build Back Better Regional Challenge Grant known as Building Central Florida’s Semiconductor Cluster for Broad-Based Prosperity continues plans for workforce development, job creation and improvements to the fabrication facility. County Manager Don Fisher is chairman of the coalition.
“We are creating new jobs and a highly skilled workforce as result of the investment we made in infrastructure at NeoCity,” Fisher said. "The DoD Cornerstone Award is building on years of hard work and is another testament to the validity of our goals, and the diligence of all of our partners to create new opportunities. This effort starts with our partnerships with the School District, Valencia College and the University of Central Florida. We are creating a pipeline like no other to allow our residents to enter the 21st Century workforce at a level few would have thought possible a few short years ago.”
The federal government has called for a stronger, more secure domestic semiconductor industry. In response to such a critical national need, Osceola County, in collaboration with BRIDG and SkyWater Technology, put forth a groundbreaking and comprehensive set of proposals aimed at establishing cutting-edge capabilities in wafer preparation and advanced packaging in its application for the Cornerstone Award.
Osceola County will contract with BRIDG and SkyWater to implement the award. The BRIDG-led activities focus on chip design and processes while the Osceola County and SkyWater-led activities will focus on offering domestic advanced packaging services. Both of these capabilities are required for the advanced packaging of microchips. Additional details about SkyWater’s program and the technology being developed at the Center for Neovation will be released upon the fully executed contract with the county.
These proposals continue to establish the infrastructure for Osceola County and the Center for Neovation to grow its leadership position in semiconductor microchip packaging and integration -- providing for enhanced functionality and improved operating characteristics.
Nearly a decade into its vision for NeoCity, Osceola County and its partners will continue to reap the rewards of its vision and investment.
In its announcement, the Office of the Secretary of Defense (OSD) DoD note that the award is part of Re-shore Ecosystem for Secure Heterogeneous Advanced Packaged Electronics (RESHAPE) efforts, and directly supports the Biden-Harris Administration’s initiatives to strengthen America’s supply chains as outlined in Executive Order 14017, America’s Supply Chains.
Community partners continue to collaborate at NeoCity and share their support:
SkyWater CEO Thomas Sonderman
“The DoD’s collaboration with Osceola County, SkyWater Florida and BRIDG signifies a unique public-private partnership that supports domestic advanced packaging and helps to secure the U.S. semiconductor supply chain. The county and SkyWater will enter into an agreement for SkyWater to execute all aspects of the initial award of up to $120 million and stand up our fan-out wafer level packaging capabilities. We are pleased this partnership continues to fortify the efforts of the County to build a thriving community in Central Florida designed for advancing the next generation of technologies here in the U.S.”
BRIDG Chief Technical Officer, Dr. John Allgair
“Recognizing the strategic importance of growing and maintaining U.S. owned microelectronics advanced packaging capabilities, BRIDG has been working with Osceola County, SkyWater, the Industrial Base Analysis and Sustainment team and additional partners to establish an exemplary regional manufacturing capability key to multiple industries, along with the supporting workforce development, This investment will complete the equipment buildout for the Center for Neovation, positioning the center and its current and future partners to drive sustainable, exemplary and inclusive regional economic development in these critical manufacturing fields.”
BRIDG President Jim Vandevere
"BRIDG joins our partners in celebrating this momentous award that leverages a