Lattice Materials is a small U.S. manufacturing company based in Bozeman, Montana that specializes in growing and machining high‑purity silicon and germanium crystals. They turn these crystals into precision infrared optical components—mainly lenses, windows, and mirrors—used in defense systems and other sensitive imaging and sensing equipment.
The name appears as the “Department of War” because a 2025 executive order by President Donald Trump restored that historical title for what was previously called the Department of Defense. Under Executive Order 14347 (“Restoring the United States Department of War”), the Pentagon is officially allowed to use “Department of War” as its operating name and has rebranded its website and releases accordingly.
Defense Production Act (DPA) Title III is a U.S. law that lets the federal government spend money or use financial tools (like grants, purchase commitments, and loans) to build up domestic production of materials and technologies considered critical for national defense. In practice, the Pentagon’s DPA Title III program identifies industrial “weak spots” (such as a single fragile supplier or a foreign‑dependent source), then co‑funds factory expansions, new equipment, or new capabilities so that key items can be produced reliably inside the United States.
Germanium and silicon optics are crucial because they are the core materials for many infrared (IR) lenses, windows, and sensors used in military systems. Germanium, in particular, transmits mid‑ and long‑wave infrared light very well, making it a go‑to material for thermal imaging, night‑vision cameras, missile seekers, and targeting pods. Silicon is also used for infrared windows and lenses—especially where lighter weight, lower cost, or different IR wavelength bands are needed. Without a stable supply of these optical‑grade crystals, the military cannot reliably build or maintain surveillance, reconnaissance, and precision‑targeting systems that depend on IR imaging.
According to the Department of War, the $18.5 million will be used to:
The release does not give a detailed line‑item breakdown (e.g., specific machines or headcount), but in DPA Title III projects this type of funding typically goes toward new production equipment, facility upgrades, and process improvements that support higher output and shorter lead times.
The expanded production will take place at Lattice Materials’ existing facility in Bozeman, Montana. The Department of War announcement states that the investment will increase germanium and silicon crystal production capacity and reduce lead times at this plant. However, it does not provide a specific construction or ramp‑up timeline, only that the award is part of fiscal year 2025 DPA investments, which typically unfold over several years of phased capacity increases.
The Pentagon explicitly states that the goal is to reduce supply‑chain bottlenecks and shorten lead times for germanium‑ and silicon‑based optics, which should improve readiness for multiple key weapons and sensor platforms. In the near term, the project is expected to begin easing risks by boosting domestic crystal growth capacity and adding recycled‑germanium capability, but the full impact will depend on how quickly Lattice can install equipment and ramp production. The release frames it as a significant step toward a more secure, faster U.S. supply of these critical optics rather than an instant fix.