Introduction: NeoCity Secures Multi-Million Dollar Contract to Propel U.S. Military Microchip Production

In a groundbreaking development, NeoCity in Central Florida has emerged as a key player in the semiconductor Microchip industry, earning a prestigious five-year contract from the Department of Defense. This significant move positions NeoCity as a hub for next-generation microchip production for the U.S. military. The implications are far-reaching, touching on national security, economic growth, and job creation. Join us on this journey as we unravel the details behind Osceola County’s multimillion-dollar contract and explore the potential impact on the microchip landscape in the United States.

Multi-million dollar Microchip Production order to Neo City

A Strategic Partnership for National Security:

At the heart of this milestone is Osceola County’s assistant county manager, Amanda Clavijo, who emphasizes the Defense Department’s intent to bring advanced microchip packaging closer to home. Currently, 97% of such packaging occurs overseas, prompting a strategic shift to fortify national security. NeoCity’s 500-acre manufacturing research and development center stands as the ideal ground for this technological leap.

Breaking Down the Numbers:

The contract, valued at $120 million, comes with options that could elevate the total award to an impressive $289 million. Osceola County Board of County Commissioners is set to allocate funds wisely, focusing on two critical workforce initiatives to spur production, advance research, and cultivate a skilled labor force for semiconductor manufacturing. An initial funding injection of $3.65 million kickstarts the endeavor, with additional funds of $67.5 million from the U.S. Economic Development Administration’s Build Back Better Regional Challenge program.

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Microchip Momentum in Florida:

Florida, currently home to 110 semiconductor establishments, ranks third nationally with over 13,000 jobs in the chip industry, according to the Semiconductor Industry Association. This sizable presence makes the Sunshine State a formidable player in the microchip sector. The infusion of funds into NeoCity promises to amplify this impact and drive job growth not only in Osceola County but across Central Florida.

A Boost for Local Businesses:

Jim Young, CEO of SawStreet in Orlando, echoes the optimism surrounding NeoCity’s rise. With 29 employees, SawStreet specializes in quick-turn semiconductor backend services, playing a crucial role in the production process. Young’s belief in the transformative power of NeoCity is rooted in its potential to bolster infrastructure within the United States. As supply chain challenges continue to loom globally, having a robust domestic microchip industry becomes imperative.

The Engineer’s Perspective:

Originating from Silicon Valley, Young initiated SawStreet in 2008, transforming it into a $3 million-a-year enterprise. For him, relocating technology and training to NeoCity is not just a strategic move but a necessity for the nation. His words resonate with the critical role semiconductors play in the world today, emphasizing the importance of a reliable domestic infrastructure to mitigate supply chain vulnerabilities.


In celebrating NeoCity’s remarkable achievement on its 1-year birthday, we witness the convergence of strategic planning, government investment, and private enterprise, all poised to reshape the microchip landscape in the United States. This multimillion-dollar contract is not merely a financial transaction; it’s an investment in national security, economic resilience, and job creation.

As NeoCity steps into its role as a major microchip production center, the ripples of its impact are destined to be felt far beyond Osceola County, reaching every corner of Central Florida and, ultimately, the entire nation. NeoCity is not just a location; it’s a symbol of progress and innovation that promises to secure a brighter, technologically advanced future for the United States.

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