IBM and the US Department of Commerce (DoC) have announced a Letter of Intent to build America’s first dedicated quantum chip foundry. The project includes a proposed $1 billion CHIPS incentive and will form a new IBM company called Anderon, based in Albany, New York.

The initiative combines federal funding with $1 billion from IBM, along with additional contributions in technology, facilities, and expertise. Anderon will operate a 300mm quantum wafer foundry aimed at producing chips for quantum computing systems.

Officials say the project will strengthen US leadership in quantum computing, support economic growth, and create advanced manufacturing capabilities in a rapidly growing industry.

“Quantum computing has significant implications for national defense, advanced materials and biopharmaceutical discovery, financial modeling and energy systems,” Bill Frauenhofer, Executive Director of Semiconductor Investment and Innovation, commented on the initiative.

The foundry will initially focus on superconducting qubit wafers and expand into other quantum technologies over time. It is designed to serve multiple companies and help scale quantum hardware production in the US.

“IBM has pioneered quantum computing for decades. Our work in silicon wafer fabrication has been a key to IBM’s success and will be critical to enable a broader quantum technology landscape that will reshape global innovation and economic competitiveness,” Arvind Krishna, Chairman and CEO of IBM, said. “With the support of the U.S. Department of Commerce, Anderon will be well-positioned to fuel America’s fast-growing quantum technology industry.”

The deal is still subject to final agreements between IBM and the Department of Commerce.