Samsung Electronics Plans $40 Billion Investment in Central Texas Semiconductor Ecosystem with U.S. Government Support
The U.S. government has announced plans to provide $6.4 billion in funding through the CHIPS and Science Act to support the establishment of a semiconductor ecosystem in central Texas in collaboration with Samsung Electronics. A non-binding preliminary memorandum of terms was signed between the Department of Commerce and Samsung Electronics, outlining Samsung’s commitment to invest over $40 billion over the course of several years.
Samsung Electronics’ device solutions division president and CEO Kye Hyun Kyung stated that their goal is not only to expand production facilities but to strengthen the local semiconductor ecosystem and establish the U.S. as a global semiconductor manufacturing hub. This partnership would involve various projects at two locations in Texas: one in Austin and one in Taylor.
In Taylor, construction is expected to begin on two logic foundry fabs, a research and development fab, and an advanced packaging facility, which will create new jobs for workers in this sector. Additionally, existing facilities in Austin will be expanded to enable the production of technologies crucial to several U.S. industries, further contributing to economic growth in this region.
U.S Secretary of Commerce Gina Raimondo believes that investments like the one with Samsung under the CHIPS and Science Act will attract further private sector investments, ensuring the long-term stability required to position America at the forefront of the semiconductor supply chain.
