Samsung's Building A Massive $17B Semiconductor Plant In Texas To Bolster US Chip Production
Samsung announced plans to build an advanced chip manufacturing plant in Taylor, Texas, which will create thousands of new jobs and expand its investment in the US. In fact, this will be Samsung's largest-ever investment in the US, with the total bill expected to be around $17 billion, including buildings, property improvements, machinery, and equipment costs.
In terms of revenue, Samsung ranks as the second largest semiconductor company in the world, behind only Intel and one notch ahead of Taiwan Semiconductor Manufacturing Company (TSMC). Factoring in the cost of this new facility, Samsung's total investment in the US since it began operating in the country several decades ago will top $47 billion.
This will also rank as Samsung's second facility in Texas, as it maintains another manufacturing site in the city of Austin.
"Companies like Samsung continue to invest in Texas because of our world-class business climate and exceptional workforce," said Texas Governor GregAbbott. "Samsung’s new semiconductor manufacturing facility in Taylor will bring countless opportunities for hardworking Central Texans and their families and will play a major role in our state’s continued exceptionalism in the semiconductor industry. I look forward to expanding our partnership to keep the Lone Star State a leader in advanced technology and a dynamic economic powerhouse."
Construction of the new site will begin in the first half of next year, with the aim of flipping on the lights and being operational by the end of 2024. The massive facility will encompass more than 5 million square meters (more than 16.4 million square feet) and create thousands of jobs, including over 2,000 high-tech positions.
The site will be located less than 16 miles away from Samsung's plant in Austin. This kind of strategically close vicinity will enable the two locations to share infrastructure and resources as necessary. Samsung says its Taylor plant will make silicon for high performance computing (HPC), mobile and 5G, and artificial intelligence products.
Samsung's new facility in Taylor won't provide any immediate relief to the current shortage, but combined with other plants being erected and expanded upon by Intel and TSMC, it should help to avoid this kind of situation from playing out in the future (fingers crossed, anyway).