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US Commerce Department Signs $500 Million CHIPS Act R&D Award With SandboxAQ
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US Commerce Department Signs $500 Million CHIPS Act R&D Award With SandboxAQ
On 17 June 2026, the U.S. Department of Commerce and SandboxAQ signed a definitive agreement for a $500 million CHIPS Act R&D award — confirmed by NIST's own announcement. Under the agreement, SandboxAQ will use physics-based AI to discover, validate, and commercialize new chemical formulations for domestic semiconductor manufacturing, across four programmatic areas: PFAS-free process chemicals, catalysts, rare-earth-free magnets, and battery systems.
The PFAS component is the most direct link to industrial chemistry. Per- and polyfluoroalkyl substances — the "forever chemicals" used throughout chip fabrication as heat-transfer fluids, lubricants, insulating coatings, and surface treatments — currently have no compliant substitutes at scale. The award funds AI-driven screening of candidate molecules aimed at that gap.
The deal's structure is also notable for a federal R&D award: rather than a conventional grant, the Department of Commerce takes a minority, non-voting equity stake in SandboxAQ, plus a share of future royalties.
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