Texas Instruments (TI) is expected to secure up to $1. 6 billion in proposed direct investment through the United States Department of Commerce’s CHIPS and Science Act.
An initial non-binding Memorandum of Understanding (MoU) has already been formalized between TI and the Ministry of Commerce to allocate the funds.
The investment is expected to reach 3 300mm wafer production facilities (factories) that are currently under construction in Texas and Utah.
Additionally, TI expects to secure between $6 billion and $8 billion in qualified manufacturing investments through the U. S. Treasury Department’s investment tax credit.
The combination of the CHIPS Act and tax credits will help TI build a stable, geopolitically independent source of critical analog and embedded processing semiconductors.
Founded more than decades ago, TI plays a vital role in providing electronic devices across various industries, from automotive to medical and home devices.
The proposed investment through the CHIPS Act will contribute to IT investment of more than $18 billion through 2029, improving its production capabilities.
In particular, it will be responsible for the clean room and pilot line structure for the two wafer production plants in Sherman, Texas (SM1 and SM2), and one located in Lehi, Utah, called LFAB2.
These sites will concentrate infrastructure and resources, generating semiconductors ranging from 28 nm to 130 nm, generation nodes, in line with the IT product portfolio.
In addition, the expansion of TI will increase semiconductor production and create about 2,000 jobs in the new factories, with more indirect employment opportunities.
In line with its sustainability goals, TI’s three-hundredmm wafer production plants will be powered by renewable electrical energy and are designed to meet LEED Gold standards.
TI’s production processes aim to minimise environmental impact by reducing waste and achieving greater energy and water efficiency, contributing to the broader goal of fostering innovation in electrification and the use of renewable energy.
Haviv Ilan, President and CEO of TI, said: “Our investments increase our competitive merit in production and generation as we expand our 300mm production operations in the United States.
“Aiming to expand our domestic production to more than 95% through 2030, we are building a geopolitically reliable 300mm-scale capacity to supply the analog and integrated processing chips our consumers will want in the years to come.
“Texas Instruments to Receive $1. 6 Billion in CHIPS Act Funding” originally created and published through Verdict, an imprint owned by GlobalData.
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