06:07 AM EDT, 10/17/2024 (MT Newswires) -- Infinera ( INFN ) said Thursday that it has signed a preliminary memorandum with the US Department of Commerce for up to $93 million in direct funding under the CHIPS and Science Act to support the expansion of the company's capabilities in semiconductor production and packaging.

When combined with certain tax credits, the direct funding could result in more than $200 million in total federal incentives, the company said.

Infinera ( INFN ) said the funding will support the upgrade of the company's semiconductor capabilities in Silicon Valley, California, as well as advanced test and packaging capabilities in Lehigh Valley, Pennsylvania.