Samsung has taken the first step towards building 11 new semiconductor factories in Texas.Company Recently submitted Eleven applications for tax cuts to build facilities in Taylor and Manor school districts. These applications Chapter 313 Incentive Program This expires this year and will be posted on the Texas Supervisor’s website Wednesday afternoon, meaning a $ 192 billion investment and potential employment of about 10,000 people.
These are usually reserved numbers for federal-level projects, reducing a single Intel investment announcement. It’s also a four-fold greater commitment than struggling, and the $ 52 billion US Innovation Competition Act (USICA) aims to inject into domestic manufacturing capacity. Parliamentary stagnation due to bipartisan differences has even delayed the breakthrough of the new Ohio facility, threatening Intel to move to more environmentally friendly areas in central Europe.
Samsung’s plan aims to build 11 new semiconductor facilities within 20 years, the earliest of which is expected to go live in 2034. Other facilities will only be online towards 2042. If Samsung’s intentions come true, the company will invest $ 217 billion in Texas’ semiconductor manufacturing infrastructure. Considering the recent announcement of a $ 17 billion manufacturing plant, also in Taylor, Texas.
Of that investment, Samsung was able to see a $ 4.8 billion rebate on tax deductions alone.
“Samsung’s efforts and investments in this area are a unique class,” said Ed Ratson, Executive Director of the Austin Regional Manufacturers Association. “We are talking about the largest foreign investment in the United States here in our region, which will have a dramatic impact on the economic development and growth of Central Texas.”
Nine of the new facilities will also be located in Taylor and may take advantage of the infrastructure investment already needed for the first such fab. The other two are planned for Austin, where Samsung has been around since 1996. The current Samsung Austin facility is currently responsible for both CPU and DRAM production.
If all Samsung plans are realized, about 180 new jobs will be placed in Austin and its $ 24.5 billion slice of investment, and Taylor will be able to see 8,200 new jobs through the $ 167.6 billion portion. A quarter of Texas’ production is already related to the semiconductor industry, and this share appears to be rising.
But this is just the first step in a long and long journey. Samsung spokesman Michele Glaze has stated that filing an incentive application is part of the company’s long-term plan.
“There are no concrete construction plans at this time, but the application for Chapter 313 to Texas is part of Samsung’s long-term planning process to assess the potential for building additional manufacturing plants in the United States. “The glaze wrote.
Not surprisingly, the Texan infrastructure also needs to receive significant investments to meet new facilities and related requirements in terms of human resources, power supply, and various logistics.
Samsung Austin was in the news in January of this year due to a spill that released 763,000 gallons (2.8 million liters) of toxic waste affecting the local ecosystem. According to a report released by an environmental officer working at the Austin City Council, the impact was so severe that “virtually no aquatic life survived.”
Samsung’s investment plan came about a slight decline in manufacturing units. The NAND market is full of aggressive and technically superior manufacturers. YMTC announced 172 layer 3D NAND technology, and Micron recently announced a new 232 layer solution. Kioxia, on the other hand, is considering a 7-bit route per cell to dramatically improve NAND density.
Macroeconomics is also useless as the PC market is expected to shrink year-on-year compared to 2021, inventory remains unsold, and manufacturers are forced to cut prices to move stagnant products.
