Samsung to Build $17 Billion USD Semiconductor Plant in Texas to Help Alleviate Global Chip Shortage
Samsung is planning to build a semiconductor factory in Texas over the next three years as part of an effort to increase its manufacturing capacity and alleviate the global chip shortage.
According to a new report from The Verge, South Korean electronic major Samsung today announced that it has chosen Taylor, Texas as the location for its new $17 billion USD plant to make advanced chips to be used in mobiles, 5G, autonomous vehicles, high-performance computing, and artificial intelligence.
The manufacturing capacity from the new facility would contribute to the stability of the global semiconductor supply chain, Samsung vice chairman and CEO of its chip business Kinam Kim said in a statement.
“In addition to our partners in Texas, we are grateful to the Biden Administration for creating an environment that supports companies like Samsung as we work to expand leading-edge semiconductor manufacturing in the US,” Kim added.
Construction of the new plant, which will span over 5 million square meters, will start during the first half of 2022 and Samsung is aiming to start its operations during the second half of 2024.
The estimated $17 billion USD to build the new facility will be Samsung’s single largest investment within the US, the company said. Since Samsung began operations in the US in 1978, the company has spent over $47 billion USD.
In addition to the new plant, a skills center will also be built in Taylor to help students develop skills and provide recruiting opportunities as part of that investment.