Samsung is gearing up to build yet another semiconductor manufacturing facility in the US, marking its third in the country. This new facility will be located in Taylor, Texas, where the company is already constructing its second facility. Back in 2021,for the construction of a chip factory in Taylor, which is anticipated to be up and running later this year.), Samsung is set to significantly increase its semiconductor investment in Texas.
According to the report, the initial estimated cost of the manufacturing site is more than $20 billion, while the packaging facility may tally up to $4 billion. Yet, how much exactly it will turn out is still too early to say. Take the first chip-making plant, for example. Reportedly, the costs have gone up due to inflation and other factors, leading to the need for several billion dollars in additional investment, as per the insiders familiar with the situation.
To help fund the extensive expansion in Texas, Samsung is anticipated to receive billions of dollars in subsidies from the US Chips Act, according to the sources. Negotiations with the Commerce Department are still underway, but it's anticipated that Samsung will secure one of the largest payouts granted to a single company.
One of the leaders in the semiconductor industry, TSMC, and Idaho-based Micron, a memory chip maker, are also expected to receive grants under the program. TSMC has been the exclusive manufacturer for several generations of Apple's A-series chips used in iPhones and some iPads.
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