On July 30, GLOBALFOUNDRIES Inc. rose 6.2% in pre-market trading, trading at $49.06/share, with turnover of $357,900. The rally follows the announcement that the company signed a letter of intent with the US Department of Commerce for a proposed $300 million CHIPS Research and Development award to advance silicon photonics technology.

The federal funding is part of a broader $874 million semiconductor R&D initiative. As part of the arrangement, the Department of Commerce will receive approximately 1% equity in GlobalFoundries. The award aims to accelerate US leadership in silicon photonics, a critical technology for next-generation optical interconnects tied to AI infrastructure buildout. The company had previously declined over 10% across the two preceding sessions amid broader semiconductor sector weakness.

Additionally, the company is scheduled to report second-quarter earnings on August 5, with consensus estimates projecting revenue of $1.765 billion, up 5.22% year-over-year, and adjusted EPS of $0.44, up 24.70% year-over-year. Mainstream institutions maintain a moderately positive near-term outlook.

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