Texas Instruments, maker of microcircuits, on Friday, August 16, announced that it would receive from the US Commerce Department financing in the amount of up to $1.6 billion for the construction of three new facilities.
The mentioned financial aid is the latest outlay by the United States government aimed at supporting domestic chip manufacturing. This allocation of money will be carried out within the framework of the US Chips and Science Act.
The financing will help the company to build two plants in Texas and one factory in Utah. The firm has allocated more than $18 billion for the implementation of chip production projects. The company intends to spend these funds by 2029. It is expected that 2,000 manufacturing jobs will be created within the framework of the specified projects.
Texas Instruments also plans to receive an investment tax credit from the US Treasury Department in the range of $6 billion to $8 billion and another $10 million for workforce development. Chief executive officer of the company Haviv Ilan stated that the firm intends to increase its internal manufacturing to more than 95% by 2030. He also noted that the firm builds a 300-millimeter production capacity that is reliable from a geopolitical point of view and will provide customers with analog and embedded processing chips. In his opinion, the mentioned chips will be needed by clients in the coming years.
Currently, the United States is seeking to develop domestic manufacturing of microcircuits. Washington is striving to reduce its dependence in the relevant sector on production facilities located in Taiwan. These goals are being implemented through the Chips and Science Act 2022. As part of the mentioned act, Washington can allocate $52.7 billion in subsidies for the production of microcircuits and related scientific research.
As we have reported earlier, Intel Plans to Spend $100 Billion on Chip Plants.
