Everspin Announces a $9.25M Contract to Provide MRAM Technology for Strategic Radiation Hardened eMRAM Macro

Rhea-AI Summary

Everspin Technologies (NASDAQ: MRAM) has secured a strategic contract with Frontgrade Technologies to provide PERSYST MRAM technology for developing radiation-hardened eMRAM macros. The contract, potentially worth up to $9.25 million over multiple years, supports Department of Defense and commercial space system requirements. The initial phase is valued at $1.25 million.

The project will utilize Skywater RH90 CMOS in Bloomington, Minnesota, and Everspin's back-end-of-line MRAM process in Chandler, Arizona. This collaboration expands MRAM's applications in defense and aerospace radiation-hardened use cases, building on Everspin's decade-long relationship with Frontgrade Technologies.

Positive

• Secured a strategic contract worth up to $9.25 million over multiple years
• Initial phase valued at $1.25 million
• Expands MRAM applications in defense and aerospace sectors
• Supports Department of Defense and commercial space system requirements
• Utilizes domestic production facilities in Minnesota and Arizona

Negative

• Full contract value dependent on successful performance and U.S. government discretion

Tech Expert

Everspin's $9.25M contract with Frontgrade Technologies marks a significant milestone in the advancement of MRAM technology for aerospace and defense applications. The development of a Strategic Radiation Hardened (SRH) high-reliability eMRAM macro addresses a critical need in the industry for robust, radiation-resistant memory solutions. This collaboration leverages Everspin's PERSYST MRAM technology, potentially opening new avenues for MRAM in radiation-hardened use cases.

The project's domestic production focus, utilizing Skywater's RH90 CMOS and Everspin's back-end-of-line process, aligns with the growing emphasis on secure, U.S.-based semiconductor manufacturing. This could position Everspin favorably in the strategic defense electronics market, potentially leading to long-term growth opportunities and increased market share in this specialized sector.

Financial Analyst

The $9.25M contract represents a significant revenue opportunity for Everspin Technologies, with an initial phase valued at $1.25M. While the full contract value is contingent on successful performance and government discretion, it provides a solid foundation for potential future growth. This multi-year agreement could contribute to more stable and predictable revenue streams, enhancing Everspin's financial outlook.

Investors should note that this contract not only brings immediate financial benefits but also positions Everspin as a key player in the high-reliability, radiation-hardened memory market. Success in this niche could lead to additional contracts and partnerships, potentially driving long-term value creation. However, the phased nature of the contract and dependence on government funding introduce some uncertainty, which should be factored into investment decisions.

Aerospace Industry Analyst

This contract signifies a growing demand for advanced, radiation-hardened memory solutions in aerospace and defense sectors. Everspin's MRAM technology offers unique advantages for space applications, including non-volatility, radiation resistance and high endurance. These characteristics are important for the harsh environments encountered in space missions and strategic defense systems.

The collaboration between Everspin and Frontgrade Technologies could accelerate the adoption of MRAM in next-generation spacecraft and satellite designs. As space exploration and defense initiatives continue to expand, the market for specialized, high-reliability components is likely to grow. Everspin's involvement in this project could position them as a preferred supplier for future space and defense programs, potentially leading to a significant expansion of their market presence in these high-value sectors.

Everspin PERSYST MRAM technology will be used for the development of the domestic production of electronics for aerospace and defense

CHANDLER, Ariz.--(BUSINESS WIRE)-- Everspin Technologies, Inc. (NASDAQ: MRAM), the world’s leading developer and manufacturer of Magnetoresistive Random Access Memory (MRAM) persistent memory solutions, today announced a new strategic contract with Frontgrade Technologies. Under the contract, Everspin will provide its innovative PERSYST MRAM technology, logic design, and back-end-of-line manufacturing services to advance the development and demonstration of a Strategic Radiation Hardened (SRH) high-reliability eMRAM macro for use in future products by Frontgrade.

“Everspin is pleased to work with Frontgrade on a custom Radiation Hardened Spin Transfer Torque MRAM program,” said Sanjeev Aggarwal, President Technologies and CEO of Everspin Technologies. “Extending our decade-long relationship to next-generation MRAM, this project will expand MRAM’s use and availability to more defense and aerospace radiation-hardened use cases.”

This initiative supports both current and future Department of Defense (DoD) strategic and commercial space system requirements. It will be manufactured using Skywater RH90 CMOS in Bloomington, Minnesota and Everspin’s back-end-of-line MRAM process in Chandler, Arizona. The contract allows for phases totaling up to $9.25 million for Everspin Technologies over multiple years. The current phase with Everspin Technologies is valued at approximately $1.25 million. Upon successful performance of this phase, and at the discretion of the U.S. government, the contract allows for award of future optional phases.

About Everspin Technologies

Everspin Technologies, Inc., is the world’s leading provider of Magnetoresistive RAM (MRAM). Everspin MRAM delivers the industry’s most robust, highest-performance, non-volatile memory for Industrial IoT, Data Centers, and other mission-critical applications where data persistence is paramount. Headquartered in Chandler, Arizona, Everspin provides commercially available MRAM solutions to a large and diverse customer base. For more information, visit www.everspin.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240814514849/en/

Agency Contact:

Kiterocket

Stephanie Quinn

T: 480-316-8370

E: squinn@kiterocket.com

Source: Everspin Technologies, Inc.

FAQ

What is the value of Everspin's new contract for MRAM technology?

Everspin Technologies (MRAM) has secured a contract worth up to $9.25 million over multiple years, with the initial phase valued at $1.25 million.

Who is Everspin's partner in this MRAM technology contract?

Everspin Technologies is partnering with Frontgrade Technologies for this strategic contract to develop radiation-hardened eMRAM macros.

What is the purpose of the MRAM technology being developed under this contract?

The MRAM technology will be used for developing Strategic Radiation Hardened (SRH) high-reliability eMRAM macros for defense and aerospace applications, supporting Department of Defense and commercial space system requirements.

Where will the MRAM technology for this contract be manufactured?

The technology will be manufactured using Skywater RH90 CMOS in Bloomington, Minnesota, and Everspin's back-end-of-line MRAM process in Chandler, Arizona.