SEOUL, September 18 (AJP) - Samsung Electronics will receive a $250 million grant from the state of Texas to support its semiconductor expansion, Governor Greg Abbott announced Wednesday (local time).
The funds, allocated from the Texas Semiconductor Innovation Fund, are separate from the $4.7 billion in federal aid Samsung secured last year under the CHIPS Act. The new grant was announced after Abbott met with Kyung Kye-hyun, Samsung’s vice chairman, in Austin on Sept. 17.
Abbott praised Samsung for its $40 billion investment in the state, which he said has created thousands of high-paying jobs and cemented Texas as a hub for semiconductor manufacturing.
The award is tied to Samsung’s $4.73 billion capital investment in its chip fabrication facility in Taylor, northeast of Austin. The plant, scheduled for completion by year’s end, will manufacture cutting-edge 2-nanometer semiconductors for applications in 5G, artificial intelligence and high-performance computing.
Samsung said production of its AI6 chips — part of a $23 billion supply agreement with Tesla — will begin at the Taylor site in late 2026.
The grant highlights Texas’s active role in courting semiconductor investment, setting it apart from federal-level initiatives. Abbott visited Samsung’s massive Pyeongtaek campus in South Korea in July 2024 and previously awarded $27 million in state funds for the Taylor fab in 2021.
* This article, published by Aju Business Daily, was translated by AI and edited by AJP.
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