Samsung is looking to build a $17 billion chip manufacturing plant in Texas

nanoguy

Posts: 989   +14
Staff member
In context: Semiconductor demand is surging and an ongoing shortage of chips has pushed companies and governments to invest large amounts of money into establishing production capabilities outside of Asia. Samsung has big plans to conquer semiconductors and other key industries, and will be spending $205 billion towards those goals. A $17 billion chunk of that fund will go toward building a new chip plant in the US, most likely in one of two cities in Texas.

Earlier this week, Reuters reported that Samsung was evaluating two locations in the state of Texas for the construction of a new 5nm chip manufacturing plant, after becoming aware of plans to offer extensive property tax breaks for tech giants looking to bring their business to the region.

One of the locations is Austin, which is already home to one of Samsung's manufacturing facilities, while the other is the city of Taylor in Williamson County. Commissioners from Williamson County along with the Taylor City Council were unanimously in favor of the proposal, and an owner of the Texas Beer Company promised to create a Samsung co-branded Pale Ale beer if the company ever decided to go ahead with such a project.

However, a Samsung spokesperson explained that "no decision has been made by Samsung on a site for a potential expansion. All sites are under consideration and each community is performing the appropriate due diligence to put themselves in the best position for this opportunity. The actions by Williamson County and the City of Taylor are part of their due diligence."

Taylor city officials are no doubt excited about the project, as it's expected to create 1,800 jobs for the chip fab, as well as anywhere between 6,500 to 10,000 construction jobs. The facility would occupy an area of over 1,100 acres (4.45 square kilometers), which is much larger than the 350 acres Samsung had previously bought for its Austin factory.

That said, Taylor and Austin are only two of five potential locations under review by Samsung for what is internally called the "Star Project." Austin is reportedly not as attractive for the tech giant after an extended power outage in February led to a temporary shutdown of the existing factory there -- a $350 million loss. Phoenix and New York sites are also under consideration, but even less likely than the Austin site.

Samsung wants to start construction on the new chip manufacturing plant in early 2022 and have it operational by the end of 2024, so it won't be long before it'll announce its decision on the location of the new facility.

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Dimitriid

Posts: 1,165   +2,221
They better choose that site wisely .... there have been quite a few floods in that area and most of the higher ground is already spoken for ......

And the massive blackouts due to the cold...Then later massive blackouts due to the heat. Plus they might lose a few female employees if they're accused of "abortion" for having a miscarriage and thrown into jail.

It's also probably not gonna be a place where most Samsung employees might want to move into if the school system officially wants to deny actual history as "radical race theory" and actively tells teachers to persecute young students that feel they might be trans.

Should we go on as to why nobody should do business in Texas, specially on this magnitude? I feel like we could go on.
 

SirDigby

Posts: 838   +665
TechSpot Elite
Contentious politics aside, businesses that plan big sites like this (all over the country), do they count on local talent or are these jobs the sort people move for? In the UK we don't have such a big culture of relocating for career (not super uncommon, just not as prevalent as the US)
 

JKnight

Posts: 154   +225
They shouldn't get any tax breaks after they increased the price of chips. They already make enough money to fund the project themselves.
 

texasrattler

Posts: 1,219   +577
And the massive blackouts due to the cold...Then later massive blackouts due to the heat. Plus they might lose a few female employees if they're accused of "abortion" for having a miscarriage and thrown into jail.

It's also probably not gonna be a place where most Samsung employees might want to move into if the school system officially wants to deny actual history as "radical race theory" and actively tells teachers to persecute young students that feel they might be trans.

Should we go on as to why nobody should do business in Texas, specially on this magnitude? I feel like we could go on.
Samsung nor many big businesses actually care about that. It's the tax breaks they care about which would be huge.
Texas is a major player for big corporations.

This is about money, like it always is. They don't care about whatever community nonsense is going on. They will say n maybe do things in the community but that's just so things flow smoothly.
Money money money $ $ $
 

PEnnn

Posts: 638   +620
Might as well build it in any carphole third world country, because that's Texas right now.

Exploding chemical plants almost daily, worst air quality, can't handle snow, can't handle heat, barely any existing healthcare system, certainly can't handle an epidemic, dictatorship from the top down and intrusion into private lives.....and they calim they "hate big guvment"!