The British government has acquired a US-owned semiconductor manufacturing plant in northern England to secure supply lines for its military.

The facility, reportedly at risk of being closed down, is one of the last remaining producers of gallium arsenide chips in the country.

According to local reports, the government bought the 310,000 square feet (28,800 square meter) facility for 20 million pounds ($26.8 million).

Defence Secretary John Healey recently visited the now government-owned plant, which will be called Octric Semiconductors UK.

In addition to securing supply chains, the acquisition is expected to preserve 100 skilled jobs for local workers.

‘At the Forefront of Technology’

According to the Ministry of Defence, semiconductors are “essential components for the functioning of almost every electronic device we use.”

In the military, the compact technology enables the development of various systems, including fighter jets, precision-guided munitions, and radars.

Their compact size, low power consumption, and high reliability make them ideal for military weapons that demand efficiency, durability, and space-saving design.

As a result, semiconductors are highly in-demand, with over a trillion being produced globally each year to support both commercial and military uses.

“Semiconductors are at the forefront of the technology we rely upon today,” Healey noted. “This acquisition is a clear signal that our government will back British defense production. We’ll protect and grow our UK Defense supply chain … safeguarding crucial tech for our armed forces and boosting our national security.”