Texas Instruments Bets Big with $60B US Expansion Plan

Texas Instruments (TI) is making waves in the semiconductor industry with its bold new plan to invest over $60 billion in U.S.-based manufacturing, signaling one of the largest commitments to domestic chip production in history. Announced on Wednesday, this aggressive expansion comes amid mounting pressure from the Trump administration to reshore America’s semiconductor supply chain and reduce reliance on overseas manufacturers.

The Dallas-based chipmaker revealed that the multi-billion-dollar package will fund the construction and expansion of seven manufacturing facilities across Texas and Utah. This includes two entirely new plants in Sherman, Texas — a site that’s quickly becoming a central hub in TI’s domestic production strategy. Altogether, the initiative is expected to generate 60,000 jobs, from engineering roles to construction and operational staff.

This isn’t TI’s first major investment under the government’s growing pro-manufacturing push. Back in December, the Biden administration awarded the company a $1.61 billion subsidy to support the construction of three new plants. That deal was part of the landmark $52.7 billion CHIPS and Science Act, a bipartisan effort designed to revive the U.S. chip sector and counter the growing technological influence of China.

Since then, TI has been steadily escalating its ambitions. In August 2024, the company outlined plans to invest up to $40 billion in its Sherman operations alone, alongside an additional $21 billion for its Utah and other Texas facilities. Wednesday’s announcement effectively confirms those projections, with TI stating that $46 billion will be earmarked for Texas projects and roughly $15 billion for Utah. However, no precise timeline has been given for the completion of these facilities.

Unlike high-profile AI chip giants such as Nvidia and AMD, Texas Instruments specializes in analog and foundational semiconductors — the kinds of chips found in everyday products like smartphones, vehicles, medical equipment, and industrial machinery. It’s a segment of the market that doesn’t always dominate headlines, but remains essential for a wide array of industries. Among TI’s notable clients are Apple, SpaceX, and Ford Motor Company, illustrating the company’s broad industry reach.

The investment move comes as U.S. political tensions over semiconductor security continue to rise. Former President Donald Trump, who has made bringing chip production back to American soil a key talking point of his 2024 campaign, has threatened to dismantle the CHIPS and Science Act while hinting at potential new tariffs on semiconductor imports. Industry watchers believe TI’s announcement — along with other recent mega-investments — are as much about future-proofing operations as they are about staying in good standing with Washington policymakers.

Last week, memory chipmaker Micron pledged an additional $30 billion in U.S. investment, taking its total planned domestic spending to $200 billion. This flurry of activity marks a significant shift for a sector that, for decades, moved much of its production to Asia in search of lower costs and established infrastructure.

Commerce Secretary Howard Lutnick praised TI’s decision, stating that the investment will bolster domestic production of the foundational semiconductors that power modern life. “Our partnership with Texas Instruments will support U.S. chip manufacturing for decades to come,” Lutnick remarked during a press briefing.

It’s worth noting that, as with many recent industry announcements, a portion of TI’s $60 billion figure includes funds already committed to projects currently under construction or nearing completion. Still, the sheer scale of the plan underscores the semiconductor sector’s race to localize production and secure future supply chains in an increasingly unstable global trade environment.