I-Pulse Inc., the privately held technology venture co-founded by billionaire mining magnate Robert Friedland, said Thursday, June 25, that it will receive $250 million from the Department of Commerce’s CHIPS program to develop semiconductor components in the United States, the latest sign of Washington’s drive to bring advanced chip production back onto American soil.
The award, disclosed in a company statement, will fund work on silicon-carbide semiconductors tied to a geothermal drilling method that runs on surges of high-power electricity. I-Pulse, which operates laboratories in New Mexico and France, uses high-voltage switches to apply electrical pulses to hot granite and other rock, fracturing and softening it ahead of the drill bit. The goal is to reach the deep, hot formations that next-generation geothermal energy depends on.
For Friedland, long known for building mining companies, the deal marks a deeper push into the business of supply-chain security. The funding comes through the federal program that has reshaped how Washington supports domestic chip manufacturing and places the veteran resource investor squarely inside the Trump administration’s campaign to reduce American dependence on foreign-made semiconductor components.
The CHIPS program was created to expand domestic semiconductor manufacturing and reduce reliance on foreign-made chips, the tiny components that power nearly every modern electronic device. Under the same initiative, the federal government has committed billions of dollars in grants and financing to companies including Intel Corp. to help rebuild U.S. chip production. The I-Pulse award extends that effort to a smaller, specialized company developing advanced power semiconductors.
The award also deepens Friedland’s growing relationship with federal agencies. One of his companies, Ivanhoe Electric Inc., is working with the U.S. Export-Import Bank on a debt package for an Arizona copper project, and Friedland attended the unveiling of a critical-minerals stockpiling venture at the Oval Office in February. In an interview, he said his companies are in discussions with numerous government agencies about strengthening America’s industrial base and bringing more manufacturing back home.
The semiconductors I-Pulse plans to build are not limited to geothermal energy. The company says its silicon-carbide components could also be used in underground mining, industrial manufacturing, and defense systems—a broad range of applications that helps explain Washington’s interest in keeping the technology and production within the United States.
I-Pulse is not a newcomer. The privately held company surpassed a $1 billion valuation a decade ago, and Friedland said he expects it to become a publicly traded company within the next few years, potentially giving early investors an opportunity to cash out while adding another semiconductor-related stock to U.S. markets. Its investors already include mining giants Rio Tinto and Newmont Corp.
Friedland framed the government funding as a way to accelerate geothermal power development at a time when the technology industry is scrambling to secure reliable electricity. The rapid build-out of artificial intelligence data centers has placed enormous strain on electric grids, and Friedland argued that the greatest limitation on AI is access to dependable clean energy. He said geothermal power offers one of the most promising long-term solutions, and that the CHIPS funding will help speed development of the technology needed to unlock it.
That argument ties the award directly to one of the biggest investment themes in business today. Companies including Microsoft and Amazon are investing tens of billions of dollars in new AI data centers, while utilities race to expand power generation fast enough to meet soaring demand. Any breakthrough that lowers the cost of deep geothermal energy could have significant implications for technology companies, manufacturers, utilities, and consumers concerned about rising electricity prices.
For the broader economy, the I-Pulse award represents one piece of Washington’s larger strategy to rebuild America’s semiconductor supply chain. By investing public funds in domestic chip production and related technologies, policymakers hope to strengthen national security, improve supply-chain resilience, and ensure that the next generation of critical semiconductor innovations is designed, manufactured, and scaled in the United States.
JBizNews Desk
New York
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