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, Texas. The announcement was made during a meeting with Samsung executives at the Texas Capitol.
The project involves more than $4.73 billion in capital investment by Samsung as part of its onshoring strategy and transition to manufacturing 2-nanometer logic chips. These advanced chips are used in technologies such as 5G, artificial intelligence, and high-performance computing. Governor Abbott previously announced Samsung’s multi-billion dollar investment for constructing the Taylor facility in November 2021, which remains the largest foreign direct investment recorded in Texas.
“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 its Taylor facility aims to strengthen domestic chip production capabilities and support key U.S. industries by providing an advanced supply chain for microchips.
“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.”
In July 2024, Governor Abbott visited Samsung Electronics’ semiconductor campus in Pyeongtaek, South Korea.
Senator Charles Schwertner commented on the impact of continued investments: “Samsung’s continued investment in Texas will deliver lasting benefits to our state’s economy and workforce,” he said. “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.”
Representative Caroline Harris Davila highlighted local economic impacts: “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,” she said. “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 established under legislation signed by Governor Abbott through the Texas CHIPS Act passed into law in 2023. The fund supports research, design, manufacturing initiatives related to semiconductors within Texas while encouraging companies like Samsung to expand operations locally.
Programs under TSIF are managed by the Texas CHIPS Office, which operates within the Governor’s Economic Development & Tourism Office.
