The U.S. Department of Commerce has awarded Texas Instruments up to $1.61 billion in direct funding under the CHIPS and Science Act. This financial support is intended to strengthen the domestic supply chain, advance national security, and improve U.S. competitiveness in semiconductor production. The funding will back a broader corporate investment of more than $18 billion planned through the end of the decade.
The investment covers the construction of three state-of-the-art fabrication facilities. Two of these plants will be located in Texas, while the third will be built in Utah. The projects are expected to generate more than 2,000 manufacturing jobs and over 20,000 construction jobs over time.
Texas Instruments, headquartered in Dallas, is a major manufacturer of analog and embedded processing semiconductors. The company specializes in current-generation and mature-node chips, which serve as foundational components for various electronic systems, including power management circuits and sensors.
Shortages of these specific chip types contributed to supply chain disruptions during the COVID-19 pandemic, affecting the automotive, industrial, and defense sectors. The new facilities aim to increase domestic production capacity for these foundational chips, thereby bolstering resilience against future economic disruptions. Texas Instruments is noted as one of the few companies building high-volume 300-mm wafer capacity for these technologies in the United States.
Funding disbursement is tied to the completion of specific milestones, including construction, technology, production, and commercial targets. The CHIPS Program Office will monitor performance through financial and programmatic reports. Recipients of this funding must adhere to restrictions regarding stock buybacks and national security guardrails that limit the sharing of intellectual property.