Texas Instruments Earmarks $60B for US Manufacturing

Texas Instruments plans to invest $60 billion in seven semiconductor manufacturing plants across three mega-sites in Texas and Utah. This marks the largest investment of its kind in U.S. history.

In Lehi, Utah, the firm will ramp up production at a 2 million-square-foot fab that TI purchased for $900 million from Micron in 2021. Additionally, the company is expanding the site with an $11 billion plant set to turn operational next year, marking the largest investment in the state’s history.

Throughout the Lone Star State, TI is well underway at the mega-site in Sherman, Texas. This campus will receive the bulk of investment—$40 billion—aiding in the development of four plants, two of which are already under construction.

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SM1 and SM2, the plant duo underway at the site, will measure more than 4.2 million square feet at full build-out. Combined with the two planned fabs, the mega development will comprise 1.3 million square feet of clean room space for chip manufacturing. SM1 will kick off production this year.

This project will complement TI’s manufacturing campuses in Dallas and Richardson—where the company developed the world’s first 300-mm chip plant back in 2009. Since then, TI has started production at a second plant at the site in 2022. Now, the firm plans to further invest in that campus, ramping up manufacturing.

TI’s developments in Texas and Utah received $1.6 billion in CHIPS Act funding from the U.S. Department of Commerce last year. The company also expects to secure about $8 billion in tax credits from the U.S. Department of the Treasury.  

Sherman is a hotspot for manufacturing operations

TI’s processing chips will be instrumental in the operations of companies such as Ford, Medtronic, NVIDIA, SpaceX and Apple. The latter is also operating a manufacturing fab in Sherman, supporting its facial recognition technology.

Another tech company that is setting up shop in Sherman is Taiwan-based GlobalWafers. Following a $5 billion manufacturing investment, the firm is developing a plant to produce silicon wafers used in the fabrication of 300-mm chips.