IBM (NYSE: IBM) and the U.S. Department of Commerce announced a letter of intent to create a quantum chip foundry through a new standalone company called Anderon, supported by $1 billion in CHIPS incentives.

The foundry will be headquartered in Albany, New York, and will operate as a 300-millimeter quantum wafer manufacturing facility. IBM will contribute $1 billion in cash to Anderon, along with intellectual property, assets, and workforce, according to the press release statement.

"With today's CHIPS Research and Development investments in quantum computing, the Trump administration is leading the world into a new era of American innovation," said Secretary of Commerce Howard Lutnick.

Anderon will initially focus on wafer fabrication for superconducting qubit and supporting electronics wafers, with plans to expand into other quantum technologies. The facility aims to serve multiple quantum hardware vendors globally.

IBM Chairman and CEO Arvind Krishna stated that "IBM has pioneered quantum computing for decades. Our work in silicon wafer fabrication has been a key to IBM's success and will be critical to enable a broader quantum technology landscape."

The company reports having deployed over 90 quantum systems and maintains partnerships with more than 325 Fortune 500 companies, startups, universities, and government agencies. IBM has collaborated with federal agencies including NIST, DARPA, and U.S. Department of Energy laboratories.

The quantum computing industry is projected to generate up to $850 billion in economic value by 2040, according to Boston Consulting Group data cited in the announcement.

The establishment of Anderon remains subject to the negotiation and execution of definitive agreements between IBM and the U.S. Department of Commerce.