In a move that could significantly reshape the landscape of the American semiconductor industry, Texas Instruments (TI) has announced plans to invest more than US$60 billion to build and expand semiconductor fabrication plants across the United States. This unprecedented investment marks one of the largest commitments in U.S. semiconductor history and aligns with federal efforts to strengthen domestic chip manufacturing amid global supply chain challenges and geopolitical concerns.
Major Infrastructure Expansion Across Three States
The plan includes the development of seven fabrication plants in three major locations: Sherman and Richardson in Texas, and Lehi in Utah. The new facilities are specifically designed to produce 300mm analog and embedded chips, foundational components used in a wide range of electronics, from automobiles and industrial equipment to medical devices and smartphones.
In Sherman, TI is currently constructing four fabs, with the first one expected to become operational by 2025. The second is structurally complete, and plans for the third and fourth fabs are underway. These fabs will focus on high-volume production of essential chips that convert real-world signals, such as temperature or sound, into digital data.
TI is growing its RFAB facility in Richardson, which was the first 300mm analog fabrication plant in the world when it was constructed in 2011. In the meantime, TI has already started increasing manufacturing at its current location in Lehi and is building a brand-new factory to boost output.
According to TI, this investment will enable the company to produce hundreds of millions of chips per day, significantly increasing the availability of semiconductors that power countless modern technologies.
Strategic Move Backed by Government Support
The announcement comes as the U.S. government continues to push for greater semiconductor independence through the CHIPS and Science Act, a $52.7 billion federal initiative aimed at revitalizing domestic chip production. As part of this program, Texas Instruments received US$1.61 billion in subsidies to help fund construction of three fabs.
U.S. officials have praised TI’s plan, calling it a cornerstone of long-term technological sovereignty. The investment also positions TI as a critical player in meeting national security goals by reducing reliance on foreign-made chips, particularly in strategic industries such as defense, energy, and transportation.
Interestingly, the timing of the announcement coincides with political momentum under both the Biden and former Trump administrations, both of which emphasized reshoring critical industries. Analysts suggest TI’s move may also serve to align the company with bipartisan government priorities as future funding and regulatory support continue to evolve.
Foundational Chips, Not Bleeding-Edge Silicon
While companies like Intel and TSMC are focused on leading-edge chips using 3nm and 5nm technology for high-performance computing, Texas Instruments is taking a different but equally vital approach. The company specializes in analog and embedded semiconductors—less flashy but crucial for the basic functioning of nearly every modern electronic system.
Analog chips are essential for translating physical inputs (such as pressure, light, or motion) into readable digital data, while embedded processors power control systems in vehicles, factory equipment, and smart devices. Despite not making news, these “workhorse” chips are the foundation of the world’s technological infrastructure.
Impact on Jobs, Industry, and Innovation
It is anticipated that TI’s investment will create more than 60,000 employment for supply chain partners, engineers, and technicians. The company also emphasized its commitment to workforce development, including partnerships with universities and technical schools to build a pipeline of semiconductor talent.
More broadly, this investment signals a long-term commitment to U.S.-based manufacturing, reinforcing the country’s ability to lead in critical technologies. As industries worldwide become increasingly dependent on secure, reliable chip supply chains, Texas Instruments’ decision could help insulate the U.S. economy from future global disruptions.
Conclusion: A New Era for U.S. Chipmaking
With its historic US$60 billion investment, Texas Instruments is not just expanding its operations—it’s helping define the future of American semiconductor manufacturing. By focusing on foundational chip technology, building state-of-the-art facilities, and aligning with national priorities, TI is playing a key role in restoring the United States’ leadership in this essential industry.
