Samsung Eyes New $10 Billion Texas Semiconductor Plant
It isn’t just Silicon Valley CEOs and New York financial firms that are making the move to Texas.
Now, even Samsung is considering a $10 billion investment in the state to build an advanced chipmaking plant, according to Bloomberg. The company hopes that such a move could win it more U.S.-based clients and help it catch up with Taiwan Semiconductor.
Samsung is currently in discussions to potentially put a plant in Austin that would be “capable of fabricating chips as advanced as 3 nanometers in the future,” the report says. Plans are still in preliminary stages.
Such a plant would be expected to begin operations as early as 2023.
The company is hoping to play on the U.S. government’s continued hawkishness with China, which could encourage domestic production. The plant, if manufactured, would be the “first in the U.S. to use extreme ultraviolet lithography, the standard for next-generation silicon,” Bloomberg wrote. Samsung would almost certainly have to negotiate incentives with President Joe Biden’s administration to make the deal happen.
Greg Roh, senior vice president at HMC Securities. commented: “If Samsung really wants to realize its goal to become the top chipmaker by 2030, it needs massive investment in the U.S. to catch up with TSMC. TSMC is likely to keep making progress in process nodes to 3nm at its Arizona plant and Samsung may do the same. One challenging task is to secure EUV equipment now, when Hynix and Micron are also seeking to purchase the machines”.
The move could put Samsung “head-to-head” against rival Taiwan Semiconductor, which has its own plans to build a $12 billion plant in Arizona by 2024. Samsung has said it aims to be the biggest player in the semiconductor industry, with aims of investing $116 billion into its foundry and chip design over the next 10 years.
Samsung purchased land in October next to its existing fab in Austin. The city’s council held a meeting in December to discuss Samsung’s request to rezone the land for industrial development.
Samsung’s chip division spent $26 billion on capex in 2020, but that largely supported the company’s memory business, where Samsung has long dominated.
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yes!!!
Blue state Texas continues abound. Everybody cheers its downfall.
Cost me a few hundred bucks the first time through.
Great news for Texas! Great news for the US.
This “tiny town” will be a suburb of Austin, if not by the time the plant opens then inside of just a few years thereafter.
The Coen Brother's first film, Blood Simple, was filmed right in the area - they wouldn't recognize it now.
Louie Mueller's BBQ is highly recommended.
Go Blue go! And FU Joe! ??? Come on De Santis, we got to match it!
"Jack St. Clair Kilby (November 8, 1923 – June 20, 2005) was an American electrical engineer who took part (along with Robert Noyce of Fairchild) in the realization of the first integrated circuit while working at Texas Instruments (TI) in 1958. He was awarded the Nobel Prize in Physics on December 10, 2000.[1] Kilby was also the co-inventor of the handheld calculator and the thermal printer, for which he had the patents. He also had patents for seven other inventions.[2] "
Jobs! It’s a great thing for Texas.
Another victory for a Right to Work State.
OUTSTANDING NEWS!We love Samsung! AND Subaru!
And there is nothing “blue” about this. 1800 new jobs. Texans. it’s not a move like Toyota. Besides....virtually everyone moving to Texas from other states are conservatives. I track the Facebook pages of the thousands moving here. 99.9% are conservatives.
THis is great news for Texas and it’s only getting redder and redder.
And, given their military buildup, China's threat to invade Taiwan starts to really ramp up in the first half of 2023. Hope the timing works out.
Samson Tesla and Hewlett Packard....all going to Texas.