The U.S. Department of Commerce awarded Samsung Electronics up to $4.745 billion in direct funding under the CHIPS Incentives Program, enabling the company to significantly expand its semiconductor manufacturing presence in Central Texas. The funding will support Samsung’s $37 billion investment plan, which includes the construction of two new leading-edge logic fabs, a dedicated R&D facility in Taylor, Texas, and the expansion of its existing Austin facility. This investment is expected to bolster the domestic production of advanced chips critical to AI and national security.
The CHIPS Act aims to solidify the U.S. as the only country hosting all five leading-edge semiconductor manufacturers. U.S. Secretary of Commerce Gina Raimondo highlighted the strategic importance of the initiative, stating, “This is an extraordinary achievement, which will ensure we have a steady, domestic supply of the most advanced semiconductors, creating tens of thousands of jobs and transforming communities across the country.” The program links funding disbursements to project milestones, ensuring accountability and progress.
Samsung’s initiative is expected to create approximately 12,000 construction jobs and over 3,500 manufacturing positions within five years, while strengthening U.S. semiconductor supply chains. Samsung, which has manufactured chips in the U.S. since 1996, emphasized its commitment to building a resilient semiconductor ecosystem in the country. Vice Chairman and CEO Young Hyun Jun stated, “Our agreement with the U.S. Government today represents another milestone as we continue to invest and build a state-of-the-art semiconductor ecosystem in the U.S.”
• Samsung awarded up to $4.745 billion under the CHIPS Act.
• Investment includes two new logic fabs, an R&D facility in Taylor, Texas, and Austin facility expansion.
• $37 billion total investment aims to enhance U.S. semiconductor manufacturing capabilities.
• The project will create 12,000 construction jobs and over 3,500 manufacturing positions in five years.
• Funding linked to project milestones for accountability and performance tracking.