Lehigh Valley Loses Bid for Federal Tech Hub and Associated $75 Million
BETHLEHEM, Pa. — A wave of disappointment washed over the Lehigh Valley as the U.S. Commerce Department announced on Monday that the region failed to secure a $75 million federal grant aimed at enhancing local semiconductor production. The grant is part of a broader initiative to establish tech hubs nationwide and bolster American technological sectors.
Initially proposed by U.S. Rep. Susan Wild, D-Lehigh Valley, the tech hub program was integrated into the bipartisan CHIPS and Science Act. This Act was drafted to revitalize U.S. high-tech manufacturing capabilities, a need highlighted by supply chain disruptions during the COVID-19 pandemic. Although the region missed out on this opportunity, Rep. Wild remains optimistic, pointing out that the application process alone sparked a renewed sense of unity and collaboration among local stakeholders.
“I’m undeterred,” said Wild. “We’ve seen the power of coming together during this application process. Even though we didn’t get the grant this time, we’re better prepared for future opportunities and will keep striving to make Lehigh Valley a tech hub.”
The Lehigh Valley’s tech hub application in August was the result of a strong coalition comprising local businesses, government bodies, educational institutions, labor unions, and economic development organizations. Although the application did not outline a concrete plan for the use of the grant funds, it was understood that such details would be elaborated upon in a subsequent application phase.
The primary objective was to supercharge the production of semiconductors, the lifeblood of today’s electronic devices. The region has a historical connection to this industry; the first solid-state transistors were produced back in 1947 at the former Western Electric facility in Allentown, located near today’s Coca-Cola Park.
Serving as the face of the application was the Lehigh Valley Economic Development Corp. Its CEO, Don Cunningham, acknowledged that the chances of securing the grant were slim, especially given that Pennsylvania cities like Philadelphia and Pittsburgh have more mature tech ecosystems. Nevertheless, Cunningham emphasized that this endeavor has illuminated the potential of the region’s semiconductor sector and has helped forge a powerful alliance focused on its growth.
“This isn’t the end; it’s the beginning of a laser-focused effort to develop the Lehigh Valley’s tech capabilities,” Cunningham said. “We’ve garnered invaluable insights into our own semiconductor sector and established a coalition that’s eager to help it flourish.”
