Samsung plans to spend $200 billion on the construction of semi-conductor plants in Texas

Samsung plans to spend $200 billion on the construction of semi-conductor plants in Texas

Samsung is raising stakes in the United States, and shortly before local parliamentarians voted on the CHIPS Act, which provides incentives and subsidies to investors in the United States semiconductor industry, a South Korean manufacturer proposed to build 11 chip production plants with a total value of $200 billion over the next 20 years.

The technogiant is known to have submitted 11 construction applications in Texas, relying on tax incentives, and the company has expanded its plans far beyond the $17 billion project, which is already under construction near the Texas capital, Austin.

The first of the 11 plants is expected to be built next to an existing plant in the local town of Taylor, 10 are proposed to be built in Williamson County, each at a cost of $12 to 21.5 billion. A total of at least 10,000 employees will be employed in the factories. According to the documents submitted, the first of the 11 plants is expected to be earned in 2034 and the last company is about to open in the early 2040s.

News about construction plans came out shortly before the American Senate voted on a bill that would grant $50 billion in subsidies to the paraconductor players, with the most popular support for Intel, linking the likely adoption of a law with its own intention to spend billions on the construction of factories in Arizona and Ohio.

Samsung's daring plan is flawed. Semiconductor production requires a lot of water and electricity. Accessable water in Texas is scarce, and during the winter storms of 2021, the local power grid failed to provide electricity without energy and existing plants. However, the Samsung project also has strengths. As long as Intel is trying to prepare mass production according to the 7nm process, the South Korean competition is already offering solutions in more modern technologies, so Samsung enterprises will be able to ensure that more advanced paraconductor production is available on SSCA territory.