In a landmark decision aimed at reducing America’s reliance on foreign semiconductors, Texas Instruments unveiled plans this week to invest more than $60 billion in seven semiconductor fabrication plants across Texas and Utah. This announcement marks the largest investment in foundational semiconductor manufacturing in U.S. history. The expansion is expected to create over 60,000 jobs and solidify U.S. leadership in analog and embedded chip production, core components in everything from cars to data centers.
The announcement aligns with strategic federal goals outlined in the CHIPS and Science Act, which is designed to bolster domestic manufacturing. TI has already secured approximately $1.6 billion in CHIPS Act awards, including tax credits and grants that support new fabs in Sherman, Texas, and Lehi, Utah. The expanded investments reflect federal incentives and political momentum towards reshoring supply chains.
Amplifying Domestic Chip Capacity
Construction has begun on two new fabs at TI’s mega-site in Sherman, Texas, with four more facilities planned. The company emphasizes its focus on foundational semiconductors, including analog and embedded processing chips, which are critical to consumer electronics, medical devices, and satellite systems. Key clients include Apple, Ford, Medtronic, Nvidia, and SpaceX, highlighting TI’s deep role in enabling “Made‑in‑USA” innovation.
U.S. Secretary of Commerce Howard Lutnick praised the announcement as central to reinforcing U.S. chip independence, stating it supports manufacturing for decades to come. The project’s timeline remains broad, though initial phases are already underway in Sherman.
Strategic Alignment on Supply‑Chain Security
This massive investment appears to be a direct response to increased federal pressure and geopolitical concerns. President Trump has made boosting U.S. semiconductor capacity a policy priority, while Senate proposals aim to lift semiconductor-related tax credits from 25% to 30%. Economists and industry specialists say that such enhancements could unlock further investment.
TI’s move also responds to persistent supply‑chain disruptions that emerged during the COVID‑19 pandemic, which exposed vulnerabilities in overseas fabrication capacity. By expanding into Texas and Utah, TI targets both increased manufacturing scale and enhanced geographic resilience.
This surge joins other recent U.S. semiconductor investments (Micron’s $200 billion memory pledge, Nvidia and TSMC’s server fabs, and Samsung’s fab expansion in Texas), reflecting a broader industrial shift.
Image credit: Texas Instruments
