In December, the U.S. government made an additional installment, which totaled $273,054,721 into its effort to fund domestic 5G manufacturing. The support came through the Wireless Innovation Fund, which was made possible by the Bipartisan CHIPS & Science Act of 2022. Funding was awarded to companies with seven projects across six states as a way to avoid the supply chain shortages that were created by the COVID pandemic.
All told, the Wireless Innovation Fund will invest $1.5 billion over the next decade to support the development of open and interoperable networks. Later this winter, NTIA will award up to $146 million in additional grants under the second Notice of Funding Opportunity. So far, NTIA has awarded more than $413 million from the Wireless Innovation Fund.
Sen. Charles Schumer (R-NY), who sponsored the legislation, said the money was necessary for the U.S. to directly compete with the Chinese Communist Party and companies like Huawei and ZTE, which threaten U.S. national security.
However, the Wireless Innovation Fund is a fraction of the nearly $53 billion that the act will funnel into funding semiconductor supply chains into the country. Additionally, the U.S. cash-infusion into 5G is a drop in the bucket compared to $22.81 billion that Huawei spent on R&D in 2023 alone. The company’s total R&D investment over the last decade now exceeds $150.7 billion. The Chinese government has done its part in bolstering the advancement of its country’s wireless industry.
“The Chinese government has invested significant amounts of political and financial capital into the 5G industry in support of increasing their reach and voice on the international stage,” the Atlantic Council writes. “In recent years, China appears to have become a global leader in 5G due to government financial and capital support and market-distortionary practices.”
Nevertheless, JMA received $44 million in federal funding for its 5G manufacturing facility in Syracuse. JMA will use the money to upgrade its 5G manufacturing facilities in central New York. An additional $30 million in private capital will be invested by the manufacturer to develop and commercialize new technology with 5G network capabilities.
The fund granted $35 million to Microelectronics Technology to develop five Open RAN macro radios for operation with four worldwide mobile network operators. Abside Networks and Battelle Memorial Institute received funding to design and make Massive MIMO antennas. Eridan Communications will accelerate the development of a light, power-efficient and cost-efficient Open RAN small-cell radio unit with its grant. Solid Gear will make a multi-operator radio access network-capable O-RAN radio unit point of interface embedded in a DAS. A next generation open radio unit platform to deliver specific open radio unit products will be developed by Nokia of America Corporation with its grant.
