Texas Instruments selects Lehi, Utah, for its next 300-millimeter semiconductor wafer fab

Rhea-AI Summary

Texas Instruments (TXN) announced plans to build a new 300-mm semiconductor wafer fabrication plant in Lehi, Utah, as part of its long-term manufacturing roadmap. This $11 billion investment marks Utah's largest economic venture and aims to create approximately 800 direct jobs and thousands of indirect jobs. The new facility will enhance TI's capacity to produce millions of chips daily for industrial and automotive applications, aligning with the growing demand in the semiconductor market. Construction is set to begin in late 2023, with production anticipated by 2026, and the project emphasizes sustainability through a LEED Gold design.

Positive

• Planned $11 billion investment in a new semiconductor fab in Lehi, Utah, the largest in state history.
• Creation of approximately 800 direct jobs and thousands of indirect jobs enhancing local employment.
• New fab will increase TI's production capacity for analog and embedded processing chips.
• Focus on sustainability with LEED Gold certification and advanced water recycling processes.
• Expansion aligns with the anticipated growth in semiconductors for industrial and automotive sectors.

Negative

• None.

DALLAS and SALT LAKE CITY, Feb. 15, 2023 /PRNewswire/ -- Texas Instruments Incorporated (TI) (Nasdaq: TXN) today announced plans to build its next 300-millimeter semiconductor wafer fabrication plant (or fab) in Lehi, Utah. The new fab will be located next to the company's existing 300-mm semiconductor wafer fab in Lehi, LFAB. Once completed, TI's two Lehi fabs will operate as a single fab.

"This new fab is part of our long-term, 300-mm manufacturing roadmap to build the capacity our customers will need for decades to come," said Haviv Ilan, TI executive vice president and chief operating officer, and incoming president and chief executive officer. "Our decision to build a second fab in Lehi underscores our commitment to Utah and is a testament to the talented team there who will lay the groundwork for another important chapter in TI's future. With the anticipated growth of semiconductors in electronics, particularly in industrial and automotive, and the passage of the CHIPS and Science Act, there is no better time to further invest in our internal manufacturing capacity."

The landmark $11 billion investment marks the largest economic investment in Utah history. The Lehi expansion will create approximately 800 additional TI jobs as well as thousands of indirect jobs. TI looks forward to strengthening its partnership with the Alpine School District and will invest $9 million to improve student opportunities and outcomes.

 "Companies like Texas Instruments continue to invest in Utah because of our world-class business climate and exceptional workforce," said Utah Gov. Spencer Cox. "TI's new semiconductor fab will solidify Utah as a global semiconductor manufacturing hub for generations to come."

Lehi is an ideal location because of its access to skilled talent, robust existing infrastructure and strong network of community partners. The new fab will manufacture tens of millions of analog and embedded processing chips daily that will go into electronics everywhere.

The fab will be designed to meet one of the Leadership in Energy and Environmental Design (LEED) building rating system's highest levels of structural efficiency and sustainability: LEED Gold. Plans include recycling water at nearly double the rate of the existing Lehi fab. Advanced 300-mm equipment and processes in Lehi will further reduce waste, water and energy consumption per chip.

Construction of the new fab is expected to begin in the second half of 2023, with production as early as 2026. The cost of the new fab is comprehended in TI's previously announced capital spending plan to expand manufacturing capacity and will complement TI's existing 300-mm fabs, which include DMOS6 (Dallas), RFAB1 and RFAB2 (both in Richardson, Texas), and LFAB (Lehi, Utah). TI is also building four new 300-mm wafer fabs in Sherman, Texas.

Learn more about TI in Lehi:

For b-roll video, event and site photos, and an infographic, visit TI.com/Lehi.
To learn more about TI's exciting 300-mm manufacturing roadmap, visit TI.com/manufacturing.  

About Texas Instruments
Texas Instruments Incorporated (Nasdaq: TXN) is a global semiconductor company that designs, manufactures, tests and sells analog and embedded processing chips for markets such as industrial, automotive, personal electronics, communications equipment and enterprise systems. Our passion to create a better world by making electronics more affordable through semiconductors is alive today, as each generation of innovation builds upon the last to make our technology smaller, more efficient, more reliable and more affordable – making it possible for semiconductors to go into electronics everywhere. We think of this as Engineering Progress. It's what we do and have been doing for decades. Learn more at TI.com.

TXN-G

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SOURCE Texas Instruments

FAQ

What is Texas Instruments' major announcement on February 15, 2023?

Texas Instruments announced plans to build a new 300-mm semiconductor wafer fabrication plant in Lehi, Utah, with an investment of $11 billion.

How many jobs will the new Texas Instruments fab create?

The new fab is expected to create approximately 800 direct jobs and thousands of indirect jobs.

When is the construction of the new TI fab expected to start?

Construction of the new Texas Instruments fab is expected to begin in the second half of 2023.

What is the production timeline for the new Texas Instruments semiconductor plant?

Production is anticipated to start as early as 2026.

What sustainability measures will Texas Instruments implement in the new fab?

The new fab will be designed for LEED Gold certification and include advanced water recycling processes.