The U.S. Department of War is investing $16 million in BAE Systems to restore domestic production of radiation-hardened microelectronics used in missile, space and strategic defense systems. The funding comes through the Defense Production Act (DPA) Title III program and is aimed at strengthening the country’s defense supply chain.

The investment will help BAE Systems expand manufacturing capacity for radiation-hardened microelectronics, or RHMs, which are designed to keep operating in environments exposed to high levels of radiation. Such chips are essential for spacecraft, satellites, missile systems and other military platforms that must function reliably in harsh conditions.

A key part of the project is the restoration of BAE Systems’ RH45 Storefront, a trusted manufacturing platform built around Radiation Hardened by Design 45-nanometer silicon-on-insulator technology. Once operational, the storefront will allow defense customers to design and manufacture their own custom radiation-hardened chips using qualified production processes.

The funding supports the department’s broader effort to rebuild critical industrial capabilities inside the United States while reducing dependence on fragile supply chains for strategic technologies.

Strengthening chip supply

“Radiation-hardened microelectronics are critical for DoW missile, space, and strategic systems,” said Assistant Secretary of War for Industrial Base Policy Michael Cadenazzi. “This project ensures qualified products are available to the DoW.”

Unlike conventional semiconductors, radiation-hardened chips are engineered to withstand radiation that can disrupt or permanently damage electronic components. They are commonly used in military satellites, strategic weapons and spacecraft operating beyond Earth’s protective atmosphere.

Radiation from space and other high-energy environments can corrupt data or permanently damage conventional electronics. Radiation-hardened chips are engineered to resist those effects, making them essential for long-duration space missions, military satellites and strategic defense systems where reliability is critical.

The restored RH45 Storefront will serve as a centralized manufacturing hub where government agencies and defense contractors can access standard process technologies, development resources and fabrication services to build application-specific integrated circuits and standard semiconductor products.

The Department of War said the investment will help create, maintain and expand domestic production capabilities for these specialized components while improving long-term supply chain resilience.

Preserving trusted technology

“This effort ensures that 45nm silicon-on-insulator technology remains available to DoW systems,” said Jeffrey Frankston, Acting Deputy Assistant Secretary of War for Industrial Base Resilience. “This provides cost-avoidance, so programs are not forced to redesign and requalify their systems.”

Maintaining an existing trusted manufacturing process also allows defense programs to continue using proven chip designs without expensive redesigns or lengthy certification efforts. That can shorten deployment timelines while reducing costs for future weapons and space systems.

The $16 million award is one of five DPA Title III investments announced by the department since the start of fiscal year 2026. Together, the projects total $102.6 million and focus on strengthening critical segments of the U.S. defense industrial base.

The latest investment reflects continued efforts to secure domestic production of advanced semiconductor technologies considered essential for national security, particularly as demand grows for resilient electronics across defense and space applications.