Texas Instruments gets $1.6B investment to expand semiconductor manufacturing
SHERMAN, Texas - Texas Instruments is paving the way when it comes to semiconductor manufacturing in the United States.
In May 2022, the North Texas-based company broke ground on its newest semiconductor plant in Sherman, 60 miles north of Dallas.
Once completely built out, the plant will employ around 2,000 workers who will produce much-needed chips needed to power all sorts of technology.
"We think it's not only good for the company, but from a supply chain shortage point of view," said Rich Templeton, Chairman of Texas Instruments.
On Friday, TI got a massive infusion of cash from the federal government.
The US Department of Commerce announced a $1.6 billion investment in helping Texas Instruments expand its operations.
The funding is a result of the bipartisan Chips and Science Act.
This is the third major investment in Texas since it was signed into law two years ago.
"To see those dollars come back to Texas, for us to get our fair share of this massive program. It is fantastic," said Mike Rosa, the Senior Vice President of Economic Development for the Dallas Regional Chamber.
It's Texas' latest win in the race for semiconductor dominance. Taiwan-based semiconductor part producer GlobalWafers recently received a portion of a $400 million investment from the Biden Administration for its Sherman facility.
Texas ramps up race for semiconductor chip production in the state
There is a race to ramp up domestic production of semiconductors for cars, phones and appliances, but skilled workers are needed to make that happen. One North Texas economist says having the right mix of incentives and a skilled workforce will be key to the state's success.
TI plans to have approximately 93 percent of semiconductors produced solely in the US by 2030.
The demand for semiconductors is huge, because so many products use them.
"Really anything that plugs into a wall. Anything that requires power almost always uses a chip. And the analog chips really are the interface to the real world," said Ted Moise, the Director of the North Texas Semiconductor Institute.
Once fully online, the Sherman facilities will be responsible for producing more than 100 million chips daily.
With the ramped up production of chips in the US comes a need for a skilled workforce.
UT Dallas has already opened a new research center to advance semiconductor technology and test electronics in the highly specialized field.
FOX 4 got an opportunity to look at the so-called "clean rooms" where chips are made.
"For us it's really exciting because it further proves that all the effort that we have put in, all the training that we have put together, is finally going to pay off," said Manuel Quevedo-Lopez, the Director of the Center for Harsh Environment Semiconductors and Systems.