Texas Instruments plans to invest more than $60 billion across seven semiconductor fabs at three sites in Texas and Utah. The company calls it the largest investment in foundational semiconductor manufacturing in U.S. history; that is TI’s characterization, not an independently verified ranking. The plan is a multi-year corporate investment—not a single federal grant—and one of its fabs, Sherman SM1, began production on December 17, 2025.
How much is TI investing, and what does the figure cover?
TI announced the more-than-$60-billion figure on June 18, 2025, for a seven-fab U.S. manufacturing plan. It covers facilities across three manufacturing sites, rather than one factory or one award of government money. TI separately said its Sherman site could receive up to $40 billion for four fabs.
The federal funding figure has a different scope. The U.S. Department of Commerce lists up to $1.61 billion in direct CHIPS and Science Act funding for TI. Commerce says the supported projects involve more than $18 billion in investment through the end of the decade across three facilities in Texas and Utah. That award should not be added to, or treated as interchangeable with, TI’s broader seven-fab plan.
Where are the seven fabs, and what is their status?
| Site | Fabs in TI’s plan | Status and context |
|---|---|---|
| Sherman, Texas | SM1, SM2, SM3, SM4 | SM1 began production on December 17, 2025. SM2 was already underway when TI announced the broader plan in June 2025. SM3 and SM4 were described as future plans to support demand. |
| Richardson, Texas | RFAB1, RFAB2 | TI said RFAB2 was ramping toward full production in June 2025. |
| Lehi, Utah | LFAB1, LFAB2 | TI said LFAB1 was ramping and LFAB2 was under construction in June 2025. |
The status descriptions for RFAB2, LFAB1, LFAB2, and SM2 reflect TI’s June 2025 announcement; they are not a claim about each facility’s status today. The later SM1 update specifically says production began in December 2025, with output expected to ramp in response to customer demand.
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What the Sherman allocation means
TI’s “up to $40 billion” figure applies to the four-fab Sherman mega-site, not to each fab individually. SM1 and SM2 were underway by the time of the 2025 announcement; SM3 and SM4 were additional plans tied to future demand. The company’s December 2025 statement that SM1 will ultimately produce tens of millions of chips daily describes intended eventual scale, not verified current output.
What kind of chips will these fabs make?
The plan centers on analog and embedded-processing chips—often called foundational semiconductors—not on the most advanced logic processors. Commerce describes the supported projects as involving 65nm–130nm analog and embedded chips at Sherman and 28nm–65nm analog and embedded chips at Lehi. Those process ranges apply to the projects covered by the listed federal award; they should not be generalized to every fab in TI’s full plan.
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Commerce identifies power-management integrated circuits, microcontrollers, amplifiers, and sensors as examples of foundational semiconductors. These parts serve many kinds of electronic systems. TI cites vehicles, smartphones, data centers, satellites, medical devices, industrial robots, and smart-home appliances as application areas.
What is known about partners and customers?
TI named Apple, Ford, Medtronic, NVIDIA, and SpaceX as partners in connection with the announcement and described collaborations and applications. The company’s releases do not disclose contract values or detailed product allocations, so the names do not establish that any particular company has a disclosed supply contract tied to a specific fab.
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How should the job figures be read?
TI said its combined new manufacturing mega-sites would support more than 60,000 U.S. jobs. Commerce’s estimate for the narrower set of federally supported projects is more than 2,000 manufacturing jobs and over 20,000 construction jobs over time. These are different scopes and projections, not counts of jobs already filled. Neither source’s figures independently establish how many positions have been created or occupied.
How does the plan relate to the earlier Sherman announcement?
At Sherman’s May 2022 groundbreaking, TI described a potential $30 billion investment for four fabs and expected first production in 2025. That was an earlier, site-specific potential figure. The later announcement broadened the scope to more than $60 billion across seven fabs at three sites, and TI subsequently reported that SM1 production began in December 2025.
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- Convert fractions, decimals and terms including Pi into alternate representations.
What is confirmed—and what remains a company claim?
The published facts establish TI’s announced investment scope, the named facilities, the December 2025 SM1 production milestone, and the separate Commerce funding and project estimates. The superlative that this is the largest U.S. investment in foundational semiconductor manufacturing history, along with TI’s projected job support and eventual SM1 output, should remain attributed to the company. The available statements do not independently verify those rankings or projections.
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