Samsung Restarts Texas Chip Plant with $4B Investment, Targeting 2nm Chips for Tesla
Samsung Electronics has restarted construction on its semiconductor plant in Taylor, Texas, after pausing work in 2024 due to a global chip demand slowdown. The project, initially planned as an $18 billion, 5nm EUV facility, has received a fresh $4 billion investment and is now set to produce advanced 2nm chips for EVs and AI systems.
The renewed momentum comes from a contract with Tesla for next-generation 2nm chips, ensuring demand for the expanded plant. The original plan was delayed due to the global chip demand slowdown, but the project is now expected to generate thousands of high-tech jobs in the region.
The facility will use Samsung's SF2P process to manufacture the advanced chips, aiming to strengthen the U.S. semiconductor supply chain and boost domestic chip production. The project is expected to deliver significant long-term economic benefits and advance U.S. technological innovation. Samsung plans to hire engineers in two phases, starting in September and continuing in November, to work on the project.
Besides Samsung, other companies like Sivers Semiconductors and Genesis Energy are also investing in semiconductor manufacturing, indicating a broader trend of expansion in the U.S. semiconductor industry. The Taylor plant's restart signals a vote of confidence in the U.S. market and a commitment to advancing domestic chip production.
