Samsung announces $17 billion semiconductor investment in Texas

Written by Staff Writer at CNN

Samsung will establish its semiconductor headquarters in Texas in a $17 billion investment that will create 2,000 new jobs, according to Samsung and Governor Greg Abbott of Texas.

Samsung announced plans to open a new semiconductor manufacturing plant in Austin on Monday, which is expected to open in 2022 and employ 4,000 at peak capacity.

Texas will play a significant role in Samsung’s chip expansion efforts, with more than 100 Samsung semiconductor development facilities — including research and testing facilities — located in Texas already. Samsung wants to ramp up its presence in the US and elsewhere around the world as demand grows for its products.

Samsung, which currently has five semiconductor plants in the United States, has also expanded its chip manufacturing in Brazil, Argentina, China, Hungary, Korea, and the Philippines.

“In Texas, the people have high expectations for our products and we are honored to meet their demand with a world-class semiconductor plant that is designed to meet the needs of customers, teams and the state of Texas,” Samsung President Dr. Chey Tae-won said in a statement.

Texas Speaker of the House Dennis Bonnen lauded the company’s decision, saying: “Samsung’s investment will bring high-paying jobs to the region, while other firms that build electronic components here will also see opportunities as a result.”

Abbott said that Samsung chose to invest in the state because of its “strong corporate tax climate and workforce, as well as education and healthcare programs.”

A Samsung spokesman said the investment “represents a large chunk of capital investment in Texas and puts the state in a great position for business expansion.”

Samsung said it has a long history of semiconductor investment in the United States, including its investment in McAfee and its purchase of Renesas Semiconductor.

Its newest plant, called its “Carving the Future” in TSMC language, will manufacture the first 4-nanometer semiconductor chips.

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