Texas Instruments unveils $60 billion ‘historic’ plan to expand US chipmaking

Forward-looking: Texas Instruments has unveiled plans to invest more than $60 billion to expand its semiconductor manufacturing operations in the United States, marking what the company describes as the largest single investment in foundational chip production in US history. The initiative will include the construction and expansion of seven semiconductor fabrication plants across Texas and Utah, a move expected to create approximately 60,000 jobs.

The investment comes amid ongoing efforts by the Trump administration to encourage American companies to bolster domestic manufacturing, particularly in the critical semiconductor sector. Texas Instruments’ announcement follows similar moves by other major technology firms and is seen as part of a broader strategy to reduce reliance on overseas chip production – a vulnerability highlighted during the global supply chain disruptions of recent years.

Most of the funding will be directed toward three major sites: Sherman and Richardson in Texas, and Lehi in Utah. The Sherman location alone is slated to receive up to $40 billion for four fabrication plants – two already under construction and two more planned to meet future demand.

The Richardson and Lehi sites will also see expanded production capacity, with all facilities focused on manufacturing 300-millimeter analog and embedded processing chips. These foundational semiconductors are essential components in a wide range of products, including vehicles, smartphones, medical devices, and data centers.

Texas Instruments chips are used by companies such as Apple, Ford, Medtronic, Nvidia, and SpaceX. Their focus on analog and embedded chips distinguishes them from other US chipmakers that specialize in advanced processors for artificial intelligence and high-performance computing. By targeting foundational chips, Texas Instruments aims to support the backbone of the electronics industry and strengthen the domestic supply chain for critical components.

The announcement also comes as the US government continues to incentivize domestic chip production through the CHIPS and Science Act, which awarded Texas Instruments up to $1.6 billion in funding last year. Industry analysts suggest that such investments may be partly motivated by efforts to secure or maintain government support, as well as to preempt potential new tariffs or changes to federal subsidy programs.

While Texas Instruments did not provide a detailed timeline for the full rollout of its $60 billion investment, the company indicated that its first new fab in Sherman is expected to begin production this year – three years after construction began.

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