Governor Greg Abbott has announced that Samsung Austin Semiconductor, LLC will receive a $250 million grant from the Texas Semiconductor Innovation Fund (TSIF) for its fabrication facility in Taylor. The announcement was made during a meeting with Samsung executives at the Texas Capitol. The project is part of a broader initiative by Samsung, which involves more than $4.73 billion in capital investment at the Taylor site.
“Texas is home to the future of technology and innovation,” Governor Abbott said. “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.”
The funding supports Samsung’s efforts to manufacture 2-nanometer logic chips at the Taylor facility, which are essential components for areas such as 5G, artificial intelligence (AI), and high-performance computing. This move aligns with an onshoring strategy designed to reinforce domestic chip production capabilities. In November 2021, Governor Abbott previously announced Samsung’s multi-billion dollar investment 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.”
In July 2024, Governor Abbott met with executives from Samsung Electronics Co., Ltd. at their semiconductor campus located in Pyeongtaek, South Korea.
Senator Charles Schwertner commented on how continued investments from companies like Samsung can bring long-term advantages: “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 both economic impact and security implications: “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.”
In 2023, Governor Abbott signed into law the Texas CHIPS Act which established both TSIF—a grant program supporting research, design, and manufacturing within semiconductors—and TSIC (the consortium). These initiatives are administered by divisions within his Economic Development & Tourism Office aimed at expanding industry capacity statewide while encouraging company expansion and fostering university expertise.
