(Reuters) – Texas Instruments will receive as much as $1.6 billion in direct funding from the U.S. Commerce Department to support the construction of three new domestic facilities, the analog chipmaker said on Friday. #TexasInstrumentsFunding
Under the CHIPS and Science Act, the funding will support building two factories in Texas and one in Utah. Texas Instruments has pledged $18 billion for these projects through 2029. These investments are expected to create 2,000 manufacturing jobs.
Texas Instruments said it also expects to receive about $6 billion to $8 billion in investment tax credit from the U.S. Treasury Department, and another $10 million in funding for workforce development.
“With plans to grow our internal manufacturing to more than 95% by 2030, we’re building geopolitically dependable, 300mm capacity at scale to provide the analog and embedded processing chips our customers will need for years to come,” CEO Haviv Ilan said.
The United States is pushing for increased domestic semiconductor production through the U.S. CHIPS Act, which was passed in 2022 and can provide $52.7 billion in funding, including $39 billion in subsidies for semiconductor production and $11 billion for R&D.
The Biden Administration has awarded Intel nearly $20 billion in grants and loans, and $6.1 billion in grants to memory chipmaker Micron Technology this year under the CHIPS Act. #TexasInstrumentsFunding
In addition, Texas Instruments funding will likely accelerate research and development projects. This influx of capital provides an opportunity for the company to explore new technologies and improve existing ones. Thus, the funding not only supports immediate growth but also positions Texas Instruments for long-term success.
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