Phoenix Semiconductor has won a Phase II SBIR contract from the U.S. Defense Logistics Agency to develop drop-in replacements for obsolete microelectronic components used in defense systems.
Based in Austin, Texas, the company will design and validate four legacy chips facing supply shortages across military platforms. The program aims to maintain critical systems without requiring redesigns of existing hardware or software, addressing long-standing issues tied to discontinued semiconductors.
One of the key projects under the contract is the recreation of the Signetics 82S100 Bipolar Field-Programmable Logic Array, originally introduced in 1975 and discontinued in the late 1980s. The chip supports the Catapult Assisted Take-Off but Arrested Recovery system used to launch aircraft from Nimitz-class aircraft carriers.
Phoenix is working with Naval Air Systems Command on the project. The goal is to deliver a form-fit-function replacement that avoids expensive system-level changes, which can require extensive certification and shipyard time across fleets.
Defense platforms often remain in service for decades, while semiconductor lifecycles last only a fraction of that time. This mismatch has created a persistent obsolescence problem across the defense supply chain. The Department of Defense estimates redesign and replacement efforts can cost around $5 million over five years per instance, while broader diminishing manufacturing sources and material shortages mitigation costs exceed $2.4 billion annually.
Phoenix says its Phase I program demonstrated cycle-accurate replacement chips that were successfully tested in a live commercial system without requiring hardware or software changes. The company’s method focuses on producing form, fit, and function compatible components that can be directly inserted into existing systems, reducing downtime and eliminating the need for full requalification in critical defense applications.
Ryan Hatcher, CEO and founder of Phoenix Semiconductor, said the award validates its approach. “This DLA SBIR Phase II award and our work with NAVAIR is a direct validation of what Phoenix has built — a faster, more cost-effective path to restoring access to mission-critical microelectronics that power the platforms our warfighters depend on. Working alongside our partners, we are proving that American ingenuity can solve one of the most pressing vulnerabilities in our defense industrial base — without multi-million-dollar redesigns and years of delay.”
The program also aligns with the Defense Logistics Agency’s modernization and supply chain strategy and provisions in the FY2025 National Defense Authorization Act covering microelectronics obsolescence mitigation, supply chain risk management, and domestic manufacturing expansion.
Phoenix’s patent-pending approach does not require new silicon fabrication or original wafers. The company says its drop-in components are designed to match original form, fit, and function, allowing military systems to continue operating without redesigns while reducing cost and lead times for legacy part replacement.
By focusing on legacy component replication, the company aims to reduce dependency on fragile global supply chains and shorten repair timelines for aging defense systems. The approach could also support other industries that rely on long-life industrial hardware systems worldwide.
With over a decade-long career in journalism, Neetika Walter has worked with The Economic Times, ANI, and Hindustan Times, covering politics, business, technology, and the clean energy sector. Passionate about contemporary culture, books, poetry, and storytelling, she brings depth and insight to her writing. When she isn’t chasing stories, she’s likely lost in a book or enjoying the company of her dogs.
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