Texas Instruments Bets $60 Billion on U.S. Chip Dominance

Texas Instruments (TXN) is placing one of the largest wagers in semiconductor history with a $60 billion investment to expand domestic production. The bulk of the funding—$40 billion—will FLOW into a new mega-site in Sherman, Texas, aligning with U.S. industrial policy under the CHIPS and Science Act.

The Sherman complex will house four 300mm wafer fabs, with the first plant slated for 2025 production. Additional expansions in Lehi, Utah, aim to meet surging demand for analog and embedded chips powering automotive, industrial, and consumer electronics sectors.

Government incentives sweeten the deal: $1.6 billion in direct CHIPS Act funding, $6-$8 billion in tax credits, and $10 million for workforce development. By 2030, TI expects over 95% of its chips to originate from in-house fabs—a strategic pivot toward supply chain sovereignty as global semiconductor competition intensifies.