TI to invest $60 billion is US manufacturing expansion
Texas Instruments plans to invest more than USD 60 billion in US-based semiconductor manufacturing, marking what the company describes as the largest investment in foundational chip production in US history. The investment spans seven fabs across three major sites in Texas and Utah and is expected to support more than 60,000 new jobs.
The largest of the planned sites is located in Sherman, Texas, where TI is looking to build four 300mm wafer fabs. The first facility, SM1, is scheduled to begin production this year, three years after construction began. SM2 is structurally complete, and the company plans to add SM3 and SM4 to meet future demand. TI is also expanding production capacity at its Richardson, Texas site with a second fab, RFAB2, and at its Lehi, Utah site, where a second fab, LFAB2, is under construction.
According to TI, the expansion is intended to meet growing demand for analog and embedded processing chips used in a broad range of applications, including automotive systems, mobile devices, industrial equipment, and data infrastructure.
“TI is building dependable, low-cost 300mm capacity at scale to deliver the analog and embedded processing chips that are vital for nearly every type of electronic system,” says Haviv Ilan, president and CEO of Texas Instruments, in a press release. “Leading U.S. companies such as Apple, Ford, Medtronic, NVIDIA and SpaceX rely on TI’s world-class technology and manufacturing expertise, and we are honored to work alongside them and the U.S. government to unleash what’s next in American innovation.”
The investment includes the construction and ramp-up of seven large-scale fabs designed to manufacture hundreds of millions of chips per day. TI’s Sherman mega-site accounts for up to USD 40 billion of the total planned investment. The company said the fabs will be connected and capable of supporting long-term capacity needs.
TI, which has been operating in the semiconductor sector for nearly a century, stated that its expanded US manufacturing presence is aimed at supporting long-term demand while contributing to the domestic semiconductor ecosystem.