Rocket Lab Expands US Investments to Boost National Security and Semiconductor Manufacturing

Monday, Aug 25, 2025 7:05 am ET1min read

Rocket Lab is expanding its US investments to boost semiconductor manufacturing capacity and provide supply chain security for national security space missions. The company will double production capacity of compound semiconductors and space-grade solar cells and expand its ability to deliver integrated spacecraft systems. This is supported by a $23.9m award through the US Department of Commerce, as part of the CHIPS and Science Act. The investments are expected to strengthen America's semiconductor industrial base and drive economic growth across the US.

Rocket Lab Corporation (Nasdaq: RKLB) has announced a significant expansion of its U.S. investments to bolster semiconductor manufacturing capacity and secure supply chains for national security space missions. The company, a global leader in launch services and space systems, has received a $23.9 million award from the U.S. Department of Commerce under the CHIPS and Science Act [1].

Rocket Lab's new investments aim to double its production capacity of compound semiconductors and space-grade solar cells, increasing monthly production from 20,000 to nearly 35,000 wafers. This expansion will enhance the company's position as a leading satellite manufacturer and components supplier for both commercial and national security space missions [1].

The investments will also strengthen the domestic supply chain for critical space components and create new job opportunities. Rocket Lab expects to increase its U.S.-based workforce to more than 2,000 employees across several states, including California, Colorado, Maryland, New Mexico, Mississippi, Arizona, and Virginia [1].

Brad Clevenger, Rocket Lab's Vice President of Space Systems, highlighted the company's commitment to delivering reliable and cost-effective solutions at scale, stating, "Our leadership in American-made semiconductor technologies is built upon more than 25 years of engineering and manufacturing excellence in New Mexico. These latest investments will expand that production capacity, strengthen supply chains, create new jobs, and develop economic opportunities across the states where we operate" [1].

U.S. Secretary of Commerce Howard Lutnick emphasized the administration's support for companies investing in American ingenuity and innovation, noting that Rocket Lab's investment will help cement U.S. dominance in space while expanding opportunities for workers across the country [1].

Rocket Lab's solar cells have powered several notable space missions, including the James Webb Space Telescope, NASA's Artemis lunar explorations, and the Ingenuity Mars Helicopter, underscoring the company's pivotal role in space industry innovation and U.S. supply chain security [1].

References
[1] https://www.businesswire.com/news/home/20250822243590/en/Rocket-Lab-Announces-Expanded-U.S.-Investments-for-National-Security-Programs-and-Semiconductor-Manufacturing
[2] https://www.investing.com/news/company-news/rocket-lab-to-boost-us-semiconductor-capacity-with-239m-chips-act-award-93CH-4207625

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