Texas Instruments announced on June 18, 2025, plans to invest more than $60 billion across seven large-scale semiconductor fabs at three manufacturing mega-sites in Texas and Utah. The company, which describes itself as the largest foundational semiconductor manufacturer in the United States, said the investment spans facilities in Sherman and Richardson, Texas, and Lehi, Utah. TI said the combined mega-sites will support more than 60,000 new U.S. jobs. The company characterized the plan as the largest investment in foundational semiconductor manufacturing in U.S. history.
What it means
The Sherman, Texas mega-site anchors the plan with up to $40 billion allocated for four fabs — SM1, SM2, SM3, and SM4. SM1 will begin initial production in 2025, three years after breaking ground, and construction of the exterior shell of SM2 is complete. SM3 and SM4 are planned as incremental investments to support future demand. In Richardson, Texas, RFAB2 is ramping to full production alongside RFAB1, which TI introduced in 2011 as the world’s first 300mm analog fab. In Lehi, Utah, TI is ramping LFAB1, its first 300mm wafer fab in that state, while construction is underway on LFAB2, which will connect to LFAB1. Across all seven fabs, TI said hundreds of millions of U.S.-made chips will be manufactured daily.
TI named Apple, Ford, Medtronic, NVIDIA, and SpaceX as partners strengthening relationships with the company in connection with the expansion. SpaceX is leveraging TI’s 300mm SiGe technology manufactured in Sherman to produce tens of thousands of Starlink kits per day in the U.S. Ford noted that 80% of the vehicles it sells in the U.S. are assembled in the U.S. TI said it is working with the Trump administration on the expansion; U.S. Secretary of Commerce Howard Lutnick is cited in connection with the announcement.
Key facts
- Total investment: more than $60 billion across seven U.S. semiconductor fabs (according to the company)
- Sherman, Texas mega-site: up to $40 billion for four fabs — SM1, SM2, SM3, SM4 (according to the company)
- SM1 initial production: 2025, three years after breaking ground
- SM2 exterior shell construction: complete
- Lehi, Utah: LFAB1 ramping; LFAB2 under construction, will connect to LFAB1
- Richardson, Texas: RFAB2 ramping to full production; RFAB1 opened 2011 as world’s first 300mm analog fab
- Jobs supported across combined mega-sites: more than 60,000 new U.S. jobs (according to the company)
- Named customer and partner companies: Apple, Ford, Medtronic, NVIDIA, SpaceX
Source: Texas Instruments news release (PR Newswire)