Federal government announces $41 million in funding for western Montana 'tech hub'

HELENA — The federal government has announced more than $500 million in grant funding to support tech hubs across the country, including in western Montana.

The U.S. Department of Commerce's Economic Development Administration said Headwaters Tech Hub is set to receive about $41 million, but the grant amount will not be finalized for several months.

The Headwaters Hub is a consortium led by Accelerate Montana, anchored in Missoula and Bozeman but also including Kalispell and Butte, focusing on the smart photonic sensing industry to support automated monitoring systems for agriculture, construction, disaster prevention, defense and other applications.

Montana leaders say the state is already home to more than 1,000 photonics jobs, and that number could grow to 6,000 in just 10 years. This latest grant will be used to train workers, increase educational opportunities in related fields, attract Native American and rural students, and help test these technologies.

The CHIPS and Science Act of 2022 established the Tech Hubs program to promote innovation and jobs in the high-tech industry. Last year, the Biden Administration announced the first 32 hubs, including Headwaters. This latest round of implementation funding will fund 12 of those hubs.

U.S. Sens. Steve Daines and Jon Tester, who both sponsored the CHIPS/Science Act in Congress, released statements celebrating the grant announcement on Tuesday.

“Montana is a big state capable of doing big things and has proven its ability to lead the nation in tech innovation, ensuring the United States can continue to compete with countries like China,” Tester said. “That's exactly why I fought to secure a major $41 million investment in the Headwaters Tech Hub and why I've served as a leading voice in the Senate defending the untapped potential of rural America. Bringing good-paying jobs back to America, securing domestic supply chains, and developing the next generation of technology really starts with investing right here in the Treasure State, and I will continue to partner with the Headwaters team to ensure they have the resources they need to succeed.”

“Montana leads the nation in technological innovation, which helps us compete with China, create good-paying jobs here at home and further boost our economy,” Daines said. “From optics and photonics to quantum computing, I'm pleased to help advance Montana's capabilities to further contribute to the critical research, development and jobs that strengthen our national security and help our nation remain globally competitive.”

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