The US government is set to award $2.8 million (£1.7 million) to Kyma Technologies to develop research into certain materials used to make semiconductors.
Kyma is a supplier of ultra-high purity gallium nitride (GaN) and aluminium nitride, which are used in a variety of electronic devices.
The company claimed that it will be using the funds from the Department of Defense to make improved and more cost effective substrates of GaN, to aid the state's research on low-defect density production of such materials.
"This funding will help support the development of a viable domestic supply of GaN materials – the most important semiconductor material discovered since silicon," stated Kyma.
President and chief executive officer of the organisation Dr Keith Evans thanked the government for the funding and reserved special praise to congressman David Price.
Last year, the company released a new diamond wire manufacturing tool, which it claimed could offer improved efficiency.