(Telestock) – Texas Instruments and the U.S. Department of Commerce have signed a preliminary, non-binding Memorandum of Terms for a Direct funding of up to $1.6 billion under the CHIPS and Science Act to support three 300mm wafer fabs already under construction in Texas and Utah.
Texas Instruments, listed on the Nasdaq, is aAmerican semiconductor company which designs, manufactures and sells analog and integrated processing chips for markets such as industrial, automotive, personal electronics, communications equipment and enterprise systems.
Additionally, Texas Instruments expects to receive an estimated between $6 billion and $8 billion from the investment tax credit from the U.S. Department of the Treasury for qualified investments in U.S. manufacturing. The proposed direct financing, along with the investment tax credit, would help TI provide a “geopolitically reliable supply of essential semiconductors for analog and embedded processing,” it said in a statement.
“The historic CHIPS Act is enabling greater semiconductor manufacturing capacity in the United States, making the semiconductor ecosystem stronger and more resilient,” he said. Haviv Ilan, president and CEO of Texas Instruments “Our investments further strengthen our competitive advantage in manufacturing and technology as we expand our 300mm manufacturing operations in the United States. With plans to increase our domestic production to over 95% by 2030, we are building a geopolitically reliable 300mm capacity at scale to deliver the analog and embedded processing chips our customers will need for years to come.”
“With this proposed investment by the Biden-Harris Administration in TI, a global leader in current-generation and mature-node chip manufacturing, we would help secure the supply chain for these critical semiconductors that are used in every sector of the U.S. economy and create tens of thousands of jobs in Texas and Utah,” said the U.S. Secretary of Commerce Gina Raimondo “The CHIPS for America program will enhance American technology and innovation and make our country safer, and TI is expected to be an important part of the Biden-Harris Administration’s successful work to revitalize U.S. semiconductor manufacturing and development.”
It will create you over 2,000 jobs corporate jobs at its three new facilities in Texas and Utah, along with thousands of indirect jobs in construction, supply chain and supporting industries.