November 10, 2026 / SemiMedia / — Halo Industries has secured a $75 million conditional loan commitment from the Pentagon's Office of Strategic Capital (OSC) to expand silicon carbide (SiC) wafer manufacturing in the United States. Announced on November 5, the proposed financing is expected to attract an additional $75 million in private capital.

The Santa Clara, California, company uses a proprietary laser process to separate SiC ingots into wafers, replacing conventional mechanical diamond-saw cutting. According to the announcement, the technology can reduce material waste and manufacturing costs while increasing throughput by up to tenfold.

OSC said the expansion would strengthen domestic access to semiconductor materials for high voltage power electronics, AI infrastructure and defense applications. These include advanced radar, electronic warfare, hypersonic systems and directed energy systems. The financing is intended to help Halo scale production and reduce reliance on imported SiC materials.

Founded in 2014 as a Stanford University spinout, Halo announced a Series B funding round of up to $80 million in July 2024. Thomas Tull's US Innovative Technology Fund led the round, with participation from 8VC and SAIC. The funding supported commercialization and expansion of its laser manufacturing platform.

Halo has also demonstrated its technology on materials including silicon, sapphire and diamond, offering potential applications beyond SiC wafer production.

The OSC financing has not reached financial close. Halo must first satisfy financial, legal, technical, investment, due diligence and other requirements specified in the conditional commitment.