Samsung snags $6.4B in CHIPS Act funds for Texas fabs
(2024/04/15)
- Reference: 1713204936
- News link: https://www.theregister.co.uk/2024/04/15/samsung_snags_64b_in_chips/
- Source link:
Samsung is the latest chipmaker to benefit from CHIPS and Science Act funds, with the US Commerce Department today announcing the Korean megacorporation is getting $6.4 billion in funding to expand its Texas operations.
In a [1]statement published today by the Commerce Department, which is managing the [2]billions of dollars being doled out to the semiconductor industry as part of the CHIPS Act, the agency said Samsung and the Biden administration have signed a non-binding agreement to hand over the aforementioned funds in order to trigger an additional $40b investment by Samsung in Texas.
"This announcement will unleash over $40 billion in investment from Samsung, and cement central Texas's role as a state-of-the-art semiconductor ecosystem, creating at least 21,500 jobs and leveraging up to $40 million in CHIPS funding to train and develop the local workforce," President Biden said of the funding agreement.
[3]
Samsung has indicated to the Commerce Department that it plans to make use of the Treasury Department's Investment Tax Credit to cover up to a quarter of its qualified capital expenditures on its new Texas projects.
[4]Intel scores $8.5B in government cheddar to supercharge fab builds
[5]British arms dealer BAE behind F-35 electronics first in line for US CHIPS funds
[6]China orders its telcos to rip and replace US chips with homegrown silicon by 2027
[7]US CHIPS Act set to electrify semiconductor scene with billions
The new funds will be used to expand Samsung's operations in two Texas cities: Austin, and its nearby suburb of Taylor.
Samsung has had a [8]presence in Austin for decades, and the $6.4b will be used to expand its facilities there to support the production of fully depleted silicon-on-insulator technology for critical US industries. The Austin deal also includes commitments from Samsung to partner with the US Department of Defense on unspecified projects.
[9]
In Taylor, where Samsung has been busy [10]building [11]several chip fabs that have been running [12]over budget in recent years, the CHIPS Act funds will be helping it build several facilities. Per the Commerce Department, Samsung will use the funds in Taylor to "construct a comprehensive advanced manufacturing ecosystem, ranging from leading-edge logic to advanced packaging to R&D."
That comprehensive ecosystem will include two "leading edge logic foundry fabs" that will produce 4nm and 2nm chips, and R&D fab focused on new chips "generations ahead" of what's currently in production and a packaging facility for producing 3D High Bandwidth Memory and 2.5D packaging.
[13]
This is the second major award the Biden administration has announced for an APAC-based semiconductor manufacturer in recent weeks. Last week the Commerce Department [14]announced $6.6b in funding for TSMC's fab projects in Arizona, and an additional allowance for up to $5b in loans to help cover costs for the Taiwanese chipmaker.
Like Samsung's work in Texas, TSMC's set of three fabs being built in Arizona are also facing [15]delays for some of the same reasons: Inflation is driving up costs for both materials and labor. ®
Get our [16]Tech Resources
[1] https://www.commerce.gov/news/press-releases/2024/04/biden-harris-administration-announces-preliminary-terms-samsung
[2] https://www.theregister.com/2024/02/12/us_chips_act_funding/
[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Zh2jea7PW82K8pazhEoZKQAAAI4&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[4] https://www.theregister.com/2024/03/20/intel_chips_act_funding/
[5] https://www.theregister.com/2023/12/11/bae_chips_funds_f35/
[6] https://www.theregister.com/2024/04/13/china_telco_chips/
[7] https://www.theregister.com/2024/03/18/national_strategy_microelectronics_research/
[8] https://www.theregister.com/2012/12/20/samsung_4_billion_in_austin_semiconductor/
[9] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Zh2jea7PW82K8pazhEoZKQAAAI4&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[10] https://www.theregister.com/2021/11/24/samsung_picks_taylor_texas_for_fab/
[11] https://www.theregister.com/2022/07/21/samsung_texas_11_fabs_planned/
[12] https://www.theregister.com/2023/03/16/inflation_has_added_50_to/
[13] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Zh2jea7PW82K8pazhEoZKQAAAI4&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[14] https://www.theregister.com/2024/04/08/tsmc_116b_arizona_funding/
[15] https://www.theregister.com/2024/03/19/intel_and_tsmc_building_costs_up/
[16] https://whitepapers.theregister.com/
In a [1]statement published today by the Commerce Department, which is managing the [2]billions of dollars being doled out to the semiconductor industry as part of the CHIPS Act, the agency said Samsung and the Biden administration have signed a non-binding agreement to hand over the aforementioned funds in order to trigger an additional $40b investment by Samsung in Texas.
"This announcement will unleash over $40 billion in investment from Samsung, and cement central Texas's role as a state-of-the-art semiconductor ecosystem, creating at least 21,500 jobs and leveraging up to $40 million in CHIPS funding to train and develop the local workforce," President Biden said of the funding agreement.
[3]
Samsung has indicated to the Commerce Department that it plans to make use of the Treasury Department's Investment Tax Credit to cover up to a quarter of its qualified capital expenditures on its new Texas projects.
[4]Intel scores $8.5B in government cheddar to supercharge fab builds
[5]British arms dealer BAE behind F-35 electronics first in line for US CHIPS funds
[6]China orders its telcos to rip and replace US chips with homegrown silicon by 2027
[7]US CHIPS Act set to electrify semiconductor scene with billions
The new funds will be used to expand Samsung's operations in two Texas cities: Austin, and its nearby suburb of Taylor.
Samsung has had a [8]presence in Austin for decades, and the $6.4b will be used to expand its facilities there to support the production of fully depleted silicon-on-insulator technology for critical US industries. The Austin deal also includes commitments from Samsung to partner with the US Department of Defense on unspecified projects.
[9]
In Taylor, where Samsung has been busy [10]building [11]several chip fabs that have been running [12]over budget in recent years, the CHIPS Act funds will be helping it build several facilities. Per the Commerce Department, Samsung will use the funds in Taylor to "construct a comprehensive advanced manufacturing ecosystem, ranging from leading-edge logic to advanced packaging to R&D."
That comprehensive ecosystem will include two "leading edge logic foundry fabs" that will produce 4nm and 2nm chips, and R&D fab focused on new chips "generations ahead" of what's currently in production and a packaging facility for producing 3D High Bandwidth Memory and 2.5D packaging.
[13]
This is the second major award the Biden administration has announced for an APAC-based semiconductor manufacturer in recent weeks. Last week the Commerce Department [14]announced $6.6b in funding for TSMC's fab projects in Arizona, and an additional allowance for up to $5b in loans to help cover costs for the Taiwanese chipmaker.
Like Samsung's work in Texas, TSMC's set of three fabs being built in Arizona are also facing [15]delays for some of the same reasons: Inflation is driving up costs for both materials and labor. ®
Get our [16]Tech Resources
[1] https://www.commerce.gov/news/press-releases/2024/04/biden-harris-administration-announces-preliminary-terms-samsung
[2] https://www.theregister.com/2024/02/12/us_chips_act_funding/
[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Zh2jea7PW82K8pazhEoZKQAAAI4&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[4] https://www.theregister.com/2024/03/20/intel_chips_act_funding/
[5] https://www.theregister.com/2023/12/11/bae_chips_funds_f35/
[6] https://www.theregister.com/2024/04/13/china_telco_chips/
[7] https://www.theregister.com/2024/03/18/national_strategy_microelectronics_research/
[8] https://www.theregister.com/2012/12/20/samsung_4_billion_in_austin_semiconductor/
[9] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Zh2jea7PW82K8pazhEoZKQAAAI4&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[10] https://www.theregister.com/2021/11/24/samsung_picks_taylor_texas_for_fab/
[11] https://www.theregister.com/2022/07/21/samsung_texas_11_fabs_planned/
[12] https://www.theregister.com/2023/03/16/inflation_has_added_50_to/
[13] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Zh2jea7PW82K8pazhEoZKQAAAI4&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[14] https://www.theregister.com/2024/04/08/tsmc_116b_arizona_funding/
[15] https://www.theregister.com/2024/03/19/intel_and_tsmc_building_costs_up/
[16] https://whitepapers.theregister.com/
2nm
Wish that was an accurate way to measure chip density, but it's as defined as a politicians opinion.