Pentagon Awards $18.5M to Fortify US Supply of Advanced Military Optics

BOZEMAN, Mont. – December 29, 2025 – In a significant move to strengthen America’s defense industrial base, the U.S. Department of War (DoW) has awarded an $18.5 million investment to Lattice Materials, a specialized Montana-based manufacturer. The funding, allocated under Title III of the Defense Production Act (DPA), is aimed squarely at increasing the domestic production of optical-grade germanium and silicon, two materials indispensable for modern military technology.

Lattice Materials, part of The Partner Companies (TPC) manufacturing group, stands as one of the few U.S. firms with the expertise to grow and fabricate these advanced crystals. The components it produces are the backbone of numerous sophisticated defense systems, including infrared lenses, windows, and mirrors that are critical for airborne sensor platforms, thermal targeting systems, individual thermal weapon sights, and missile guidance technologies. This strategic investment underscores a national security priority to mitigate supply chain vulnerabilities and ensure that American warfighters have access to superior electro-optical/infrared (EOIR) capabilities without reliance on foreign sources.

"We've seen unprecedented demand for secure, U.S.-made solutions across the industries we serve, especially within aerospace and defense," said Travis Wood, president of Lattice Materials. "We are grateful for the DoW's investment in expanding our production capacity, which will help strengthen domestic supply chains and ensure that the advanced technologies our components enable are available when and where they're needed most."

A Direct Response to Geopolitical Pressures

The timing of the award is not coincidental. It arrives amid heightened geopolitical tensions surrounding critical minerals, particularly following recent export restrictions on germanium imposed by China. This move by a dominant global supplier has sent ripples through the defense and technology sectors, highlighting the acute risks of foreign dependency for essential materials. Germanium is designated by the U.S. Geological Survey as one of 50 critical minerals vital to the nation's economic and military security, yet its domestic production chain has remained fragile.

The Department of War's Office of the Assistant Secretary of Defense for Industrial Base Policy is directly addressing this vulnerability. By channeling funds to proven domestic suppliers like Lattice, the Pentagon is executing a clear strategy to de-risk its supply chain and scale up U.S. manufacturing capacity. The investment is funded through the Additional Ukraine Supplemental Appropriations Act of 2022 and directly supports Executive Order 14241, which mandates urgent action to bolster the domestic production of processed critical minerals.

Scott Bekemeyer, founder and co-chairman of TPC, emphasized the strategic imperative of this initiative. "This is a major step forward for U.S. domestic defense manufacturing, and we look forward to leveraging this investment to advance our leadership as a partner in developing germanium and silicon optical solutions securely and effectively," he stated. "A trusted and proven producer of engineered germanium and silicon solutions is imperative in the development of critical systems for those on the front lines. With countries like China limiting their germanium exports, Lattice and TPC have an opportunity to expand germanium solutions for the defense industry with absolute confidence."

The Highly Specialized Science of Crystal Growth

The challenge of producing optical-grade germanium and silicon lies in the immense technical expertise required. These are not common materials that can be easily sourced or substituted. Germanium, a metalloid, is prized for its unique properties: it is transparent to infrared radiation, making it ideal for thermal imaging, yet opaque to visible light. Its durability, thermal stability, and ability to shield sensitive electronics from electromagnetic interference make it irreplaceable in many high-performance defense applications.

Lattice Materials brings over three decades of experience in the Czochralski crystal growth process, a highly controlled method used to produce large, single-crystal ingots of extreme purity. This is not a mass-production process. Unlike off-the-shelf components, Lattice’s engineers custom-grow each crystal to meet the exacting specifications of a particular defense system. This involves tailoring the crystal's diameter, its unique crystallographic orientation, and its electrical resistivity to optimize performance for a specific application. This level of precision requires deep institutional knowledge and highly specialized equipment, explaining why so few companies possess this capability.

The $18.5 million in DPA funding will empower Lattice to significantly scale its output. The company plans to use the funds to increase its capacity for producing both germanium and silicon crystals. Critically, the investment will also enable Lattice to establish a new, domestic capability to produce germanium metal from recycled materials. This move towards a circular economy for a critical mineral not only enhances supply but also adds another layer of resilience to the U.S. industrial base, reducing reliance on primary extraction and foreign processing from the outset.

An Integrated Partner in the Defense Ecosystem

Founded in 1989, Lattice Materials has long been a quiet but essential contributor to U.S. national security from its headquarters in Bozeman, Montana. The company’s acquisition by The Partner Companies (TPC) in 2016 integrated it into a larger, more robust manufacturing ecosystem. TPC is a global, diversified company that supports mission-critical needs across the defense, aerospace, medical, and technology sectors.

As one of 11 specialty manufacturers within the TPC family, Lattice benefits from a network of complementary engineering and manufacturing capabilities. This integrated structure allows TPC to offer comprehensive solutions, from initial crystal growth and optical fabrication at Lattice to other complex processes like photochemical etching, ceramic metallization, and precision machining at its partner companies. This synergy makes TPC a formidable and reliable supplier for the armed services and major defense contractors who require complex, multi-stage components for their most advanced platforms. The investment in Lattice, therefore, strengthens not just one company, but a key node within a broader network dedicated to supporting America's technological edge on the global stage.