story by Kim Souza
ksouza@thecitywire.com
Officials with Cree, one of the more successful startups to emerge from the University of Arkansas Research and Technology Incubator, took time Tuesday (Sept. 1) to celebrate the receipt of a $4.1 million contract from the U.S. Air Force. The new funding is for the development and testing of a high-performance electronic module used in the F-35 Joint Strike Fighter.
Joining company officials for the news was U.S. Sen. John Boozman, R-Ark., who said the contract is an example that high-tech manufacturing can happen in Arkansas.
“Cree is on the forefront of a number of exciting advancements, including the effort to modernize our aircraft for the U.S. Air Force. The company’s contributions to an increase in high-tech domestic manufacturing in Northwest Arkansas help drive economic growth in our state and create more well-paying jobs for Arkansans. These are the jobs of the future. It’s exciting to see them being created right in our backyard,” Boozman said.
He also congratulated Cree – once known as APEI – for its efforts to take university research and grow that into technology jobs from the 50 created since 2011 and the 15 positions the company is now looking to fill.
“This is something we have not done enough of in the past. We are delighted at the growth this venture has been able to accomplish thus far. With the new merger into Cree there are even more opportunities to expand and grow local jobs,” Boozman said during a brief presentation.
Last month APEI announced it was being acquired by North Carolina-based Cree Inc., a manufacturer of silicon-carbide chips and other power products. The combined company is now working on silicon-carbide chips which are made in North Carolina and wired internally in the recently expanded Fayetteville manufacturing site. These “smart” chips are used in various products, including the Toyota Prius Hybrid battery charger.
When APEI was launched in 2011, the startup began with a research lab of 100 square feet in the Fayetteville technology park. Dr. Alex Lostetter, former CEO of APEI, said today the company has spread into 25,000 square feet with a modern manufacturing center with room for more expansion.
“Joining forces with the market leader in silicon-carbide power gives us an opportunity to commercialize our products faster,” Lostetter said. “This ideal combination of chip technology and packaging will give us first-mover advantage, helping us to set the industry standard for power modules.”
He said the chip technology being completed in the Fayetteville center has applications in aerospace engineering, charging stations for consumer electronics, solar power generators and battery chargers for hybrid vehicles like the Toyota Prius.
Lauren Kegley, business development and product commercialization engineer, joined the company as a research engineer following gradation from the UA. She said the company has allowed more electrical engineering graduates to stay in the area following graduation.
“Before APEI many of the local electrical engineering graduates wanting to stay in research would have to relocate to one of the other areas like Silicon Valley or the Triangle Park in North Carolina. The APEI, now Cree, presence here has made it nice for UA grads who want to live and work in Northwest Arkansas,” Kegley said.
She said the 15 open positions are in the areas of engineering and technical telemetry.