Governor Greg Abbott has announced a $250 million grant from the Texas Semiconductor Innovation Fund (TSIF) to Samsung Austin Semiconductor, LLC. The funding will support Samsung’s semiconductor fabrication facility in Taylor, which is part of a larger project involving more than $4.73 billion in capital investment.
“Texas is home to the future of technology and innovation,” said Governor Abbott. “With approximately $40 billion invested in Texas, Samsung is helping to cement Texas’ position as the leading state for semiconductor manufacturing, bringing in more business investment to Texas communities and creating thousands of good-paying jobs for hardworking Texans. This $4.73 billion investment by Samsung in their Taylor semiconductor fabrication facility will provide a more secure domestic supply of chips for critical U.S. industries and ensure the most advanced chips that will power next-generation technologies are Made in Texas.”
Samsung’s new initiative at the Taylor facility focuses on manufacturing 2-nanometer logic chips used in areas such as 5G, artificial intelligence, and high-performance computing. The company’s move is part of an onshoring strategy aimed at strengthening domestic chip production capabilities. In November 2021, Governor Abbott previously announced Samsung’s multi-billion dollar plan to build the Taylor plant, marking it as the largest foreign direct investment recorded in Texas.
“Samsung has been proud to call Texas home for the past 30 years and is deeply appreciative to the State of Texas and the Governor’s Office for this significant grant award,” said Young Hyun Jun, Vice Chairman and Head of Device Solutions (DS) Division at Samsung Electronics. “This grant will ensure that our semiconductor manufacturing facility in Taylor delivers the most advanced technology for our global customers and continues to reinforce the chip supply chain in the U.S. We are excited about this opportunity and look forward to continuing to strengthen our relationship.”
Governor Abbott met with executives from Samsung Electronics Co., Ltd. during his visit to their Pyeongtaek campus in South Korea in July 2024.
“Samsung’s continued investment in Texas will deliver lasting benefits to our state’s economy and workforce,” said Senator Charles Schwertner. “This grant will further strengthen America’s chip supply chain, create thousands of high-quality jobs for Central Texans, and cement our state’s role as the global leader in advanced semiconductor manufacturing.”
“The state’s considerable support of the Samsung Austin Semiconductor facility in Taylor is a powerful testament to Texas’ leadership in semiconductor innovation and economic growth,” said Representative Caroline Harris Davila. “I’m proud to represent Taylor and neighboring communities across Central Texas, where this historic project is already supporting tens of thousands of jobs and billions in local economic activity. This newest commitment will further boost opportunities in Williamson County, strengthen America’s national security, advance AI innovation, and secure a resilient supply of advanced microchips. Thank you to Governor Abbott for his leadership and for keeping Texas the most business-friendly state in the nation.”
The TSIF was created through legislation signed by Governor Abbott under the Texas CHIPS Act passed into law in 2023. The fund supports research, design, manufacturing efforts within Texas’ growing semiconductor sector while also encouraging companies like Samsung to expand operations locally.
