• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechManufacturing

Chicago makes a bid to be the U.S. hub of digital manufacturing

By
Andrew Zaleski
Andrew Zaleski
Down Arrow Button Icon
By
Andrew Zaleski
Andrew Zaleski
Down Arrow Button Icon
April 20, 2015, 6:08 PM ET
Courtesy of UI Labs

Chicago takes a big step toward being a U.S. hub of digital manufacturing this month when the Digital Manufacturing and Design Innovation Institute (DMDII) opens.

Part-incubator, part-research center, the 94,000-square-foot institute will serve as a proving ground for experimenting with and testing new digital technologies that could potentially reduce the time and costs of current manufacturing processes across a number of industries. One example of what the future could hold: a means to bridge the gap between a company’s design team and manufacturing engineers. With digital manufacturing, a designer editing a computer model of a part could click a button and in real-time see how much it costs and how long it takes for the manufacturing team to make that part.

“Everybody sees a tidal wave coming of digital technology for manufacturing,” says William King, chief technology officer of the DMDII. “People are not quite sure how it’s going to play out and what it means for them.”

Figuring out how digital technology will change the manufacturing sector is the main selling point of the DMDII, the first public-private partnership of the Chicago nonprofit UI Labs, whose mission is to launch public and private sector collaborations in applied research and development. DMDII brings together big manufacturing companies, like Boeing and GE, with large Midwest universities and local and federal government to tackle challenges around integrating digital manufacturing with traditional manufacturing.What does that look like? Industry partners propose manufacturing problems—say, answering how floor workers use body-mounted cameras to capture quality-control data—and then the DMDII sets up internal competitions to find solutions. The U.S. Department of Defense kicked in $70 million for construction costs, while the City of Chicago contributed $10 million. Roughly a dozen corporate sponsors have contributed $1 million each.

While the approach seems counterintuitive—the big industry partners all have competing positions in digital manufacturing—the strategy is similar to that of Sematech’s in the 1980s, albeit in a different sector. Formed in 1988, the Semiconductor Manufacturing Technology consortium organized leaders in semiconductor tech, such as Intel and Texas Instruments, to help the U.S. memory-chip economy regain its competitive edge and, as MIT Technology Review has written, “revitalize the U.S. semiconductor industry by finding ways to reduce manufacturing costs and product defects.” King says the same sort of model directs DMDII’s approach to stimulating the digital manufacturing sector.

“The idea is that we can have the government come in and catalyze an industry consortium where the industry members can pool their resources and expertise to attack problems they wouldn’t otherwise attack,” he says. “Perhaps the problems are too risky to attack on their own. Perhaps there is a need for a collective effort. [Companies] bring only the pre-competitive stuff forward and they share know-how.”

Coinciding with the opening of the DMDII is the first set of “project calls” for seven different digital manufacturing challenges—the first internal competition the DMDII has set up. Proposals on how to digitize factory operations, develop digital goggles for manufacturing floor workers, and use modeling to predict the performance and cost of new manufacturing materials are among the first “project calls” the institute is asking teams from industry and academia to submit. DMDII is putting up $12.5 million to help fund 12 to 24 months of research on selected projects, the hope being that projects that “graduate” from DMDII can be implemented by U.S. manufacturers once research is completed.

Of course, digital manufacturing is still young. Big companies have begun using additive processes to manufacture components of larger products—like GE has done with the fuel nozzles for its LEAP engine—but the digitization of manufacturing is still percolating into the small and medium enterprises that represent more than 90 percent of some 300,000 manufacturers in the U.S.

“We are in the very early days for this technology,” King says. “Where are the opportunities? This is our big industry members getting started in a serious way.”

Watch more business news from Fortune:

About the Author
By Andrew Zaleski
See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

UFO files show Buzz Aldrin saw a ‘sizeable’ object close to the moon and a ‘fairly bright light source’ that the Apollo 11 crew felt could be a laser
Innovationspace
UFO files show Buzz Aldrin saw a ‘sizeable’ object close to the moon and a ‘fairly bright light source’ that the Apollo 11 crew felt could be a laser
By Seung Min Kim, Collin Binkley and The Associated PressMay 9, 2026
11 hours ago
joaquin
Commentary250 Years of Innovation
Johnson & Johnson CEO: America’s innovation advantage starts with health 
By Joaquin DuatoMay 9, 2026
14 hours ago
Qualcomm’s CEO is working with ‘pretty much all’ major AI players on top-secret devices—and powering OpenAI’s first push into hardware
AIQualcomm
Qualcomm’s CEO is working with ‘pretty much all’ major AI players on top-secret devices—and powering OpenAI’s first push into hardware
By Eva RoytburgMay 9, 2026
15 hours ago
reed
CommentaryRetirement
Tim Cook and Reed Hastings just showed every CEO how to leave gracefully
By Paul HardartMay 9, 2026
17 hours ago
Companies are abandoning ‘peanut butter’ raises as pay-for-performance takes over the workplace in the AI era
Future of WorkTech
Companies are abandoning ‘peanut butter’ raises as pay-for-performance takes over the workplace in the AI era
By Marco Quiroz-GutierrezMay 9, 2026
18 hours ago
Goldman Sachs’ tech boss says tracking individual AI usage isn’t useful. He just watches how fast his 12,000 engineers move from idea to production
AIBanks
Goldman Sachs’ tech boss says tracking individual AI usage isn’t useful. He just watches how fast his 12,000 engineers move from idea to production
By Marco Quiroz-GutierrezMay 8, 2026
1 day ago

Most Popular

'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
Future of Work
'Employers are increasingly turning to degree and GPA' in hiring: Recruiters retreat from ‘talent is everywhere,’ double down on top colleges
By Jake AngeloMay 9, 2026
12 hours ago
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
Politics
Ted Cruz says the quiet part out loud: Trump accounts are Social Security personal accounts as GOP senator reveals 'dirty little secret'
By Jason MaMay 9, 2026
8 hours ago
A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction began
Magazine
A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction began
By Sharon GoldmanMay 6, 2026
4 days ago
California farmers must destroy 420,000 peach trees after Del Monte closes its canneries and cancels more than $550 million in long-term contracts
North America
California farmers must destroy 420,000 peach trees after Del Monte closes its canneries and cancels more than $550 million in long-term contracts
By Sasha RogelbergMay 7, 2026
2 days ago
You're probably safe from the Hantavirus outbreak, but here's what you absolutely must not do, experts say
Politics
You're probably safe from the Hantavirus outbreak, but here's what you absolutely must not do, experts say
By Catherina GioinoMay 8, 2026
1 day ago
The CEO of Maersk, which ships 14% of everything you buy, said the Iran war is adding $500 million in monthly costs it's trying not to pass down
Energy
The CEO of Maersk, which ships 14% of everything you buy, said the Iran war is adding $500 million in monthly costs it's trying not to pass down
By Sasha RogelbergMay 8, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.