Texas Instruments has revealed plans to invest over $60 billion to construct seven semiconductor fabs across three manufacturing mega-sites in Texas and Utah. This investment, described as the largest in U.S. foundational semiconductor manufacturing history, aims to expand TI’s production capacity for analog and embedded processing chips used in electronics such as smartphones, vehicles, and data centers. The initiative is expected to create more than 60,000 U.S. jobs.
The investment includes four fabs in Sherman, Texas SM1 and SM2, which are already under construction, and two additional fabs, SM3 and SM4, planned for future development. SM1 is set to begin initial production in 2025, while SM2’s exterior construction is complete. In Richardson, Texas, TI’s RFAB2 is ramping up to full production, building on RFAB1, the world’s first 300mm analog fab introduced in 2011. In Lehi, Utah, TI is scaling up LFAB1, its first 300mm wafer fab, with construction progressing on LFAB2, which will connect to LFAB1.
TI’s President and CEO, Haviv Ilan, stated that the expansion focuses on delivering 300mm capacity to meet the growing demand for semiconductors. The company is collaborating with the Trump administration to support this effort. U.S. Secretary of Commerce Howard Lutnick noted that the partnership aligns with priorities to increase domestic semiconductor production.
Several U.S. companies are partnering with TI to leverage its manufacturing capabilities. Apple CEO Tim Cook said TI’s chips are integral to Apple products. Ford President and CEO Jim Farley highlighted the collaboration’s role in strengthening domestic supply chains, noting that 80% of Ford’s U.S.-sold vehicles are assembled domestically. Medtronic Chairman and CEO Geoff Martha emphasized TI’s support during global chip shortages, aiding the development of medical technologies. NVIDIA founder and CEO Jensen Huang discussed joint efforts to develop AI infrastructure. SpaceX President and COO Gwynne Shotwell stated that TI’s 300mm SiGe technology, produced in Sherman, supports Starlink’s satellite internet service, with SpaceX manufacturing thousands of Starlink kits daily in the U.S.
TI, a major U.S. producer of foundational semiconductors, aims to meet rising demand through this expansion, building on its nearly 100-year history in technology and manufacturing. The seven fabs are expected to produce hundreds of millions of chips daily.
