Samsung says the new factory will produce advanced logic semiconductor solutions that power next-generation technologies. These include products for application in areas such as “mobile, 5G, high-performance computing (HPC), and artificial intelligence (AI)”. The company is likely talking about chips based on its 3nm technology, which could be in mass production next year. The upcoming semiconductor manufacturing facility in Taylor, Texas is estimated to cost Samsung a whopping $17 billion, including buildings, property improvements, and machinery and equipment. It will be the company’s largest-ever single investment in the US. Samsung says it has already invested more than $30 billion in the country since 1978 when it began operations stateside. Spread across more than five million square meters, construction of this factory will begin in the first half of 2022. Samsung hopes to make the new manufacturing facility operational by the end of 2024. It will serve as a key location for the company’s global semiconductor business. The Korean firm is also touting over 2,000 direct jobs and thousands of related jobs with the opening of the factory some three years later. Samsung already employs over 20,000 people in the US. Additionally, Samsung will create a Samsung Skills Center for the Taylor Independent School District (ISD) as part of this investment. This center will provide internships and recruiting opportunities to help students develop career-building skills. “We are proud to be bringing more jobs and supporting the training and talent development for local communities,” said Kinam Kim, head of Samsung’s Device Solutions Division.
Samsung settles on Taylor, Texas for its new chip factory
Samsung settles on Taylor, Texas for its new chip factory
Samsung announced its $17 billion investment plan for a new chip factory in the US back in May. Since then, it has been exploring sites across various states in the country, including Arizona, New York, California, and Texas, of course. It has now settled on a site in the city of Taylor, Texas. The company says it considered several factors before reaching this decision. These include the appealing semiconductor ecosystem of the state, as well as infrastructure stability and support from the local government. Additionally, this site is about 25 kilometers from Samsung’s existing chip plant in Austin, Texas. The company says this will allow it to share the necessary infrastructure and resources between the two locations. Samsung expectedly doesn’t talk about the expansive tax incentives it received from the Texas government. However, previous reports suggest that the company could get up to a 90 percent rebate of property taxes. The local government has also reportedly offered many other tax breaks to the Korean firm. “Companies like Samsung continue to invest in Texas because of our world-class business climate and exceptional workforce,” said Texas Governor Greg Abbott. “Samsung’s new semiconductor manufacturing facility in Taylor will bring countless opportunities for hardworking Central Texans and their families and will play a major role in our state’s continued exceptionalism in the semiconductor industry.”
