Texas Instruments is set to receive up to $1.6 billion in funding from the U.S. Commerce Department towards the construction of three new facilities for manufacturing 300mm semiconductor wafer fabs.
The funding, under the U.S. CHIPS and Science Act, will assist Texas Instruments to build two factories in Texas (Sherman) and one in Utah (Lehi).
Texas Instruments has pledged more than $18 billion through 2029 to the projects, which are expected to create 2,000 manufacturing jobs.
Texas Instruments also expects to receive about $6 billion to $8 billion in investment tax credit from the U.S. Treasury Department, and $10 million in funding for workforce development.
“With plans to grow our internal manufacturing to more than 95 percent by 2030, we’re building geopolitically dependable, 300mm capacity at scale to provide the analog and embedded processing chips our customers will need for years to come,” Texas Instruments CEO Haviv Ilan said.
The United States is trying to boost domestic output and reduce reliance on semiconductor hub Taiwan through the CHIPS Act passed in 2022 and can provide $52.7 billion in subsidies for chip production and research.
The United States awarded nearly $20 billion in grants and loans to Intel, and $6.1 billion in grants to memory chipmaker Micron Technology earlier this year.
The United States is offering $8.5 billion to Intel, $6.6 billion to TSMC, $6.4 billion to Samsung, $6.1 billion to Micron, $1.6 billion to Texas Instruments and $1.5 billion to GlobalFoundries.
