On Friday, the US Department of Commerce publicly announced significant funding awards totaling over $6.75 billion for major players in the semiconductor industry, specifically Samsung, Texas Instruments, and Amkor Technology. This funding is part of the CHIPS Incentives Program, designed to bolster and expand domestic semiconductor manufacturing capabilities. Notably, Samsung received up to $4.745 billion in direct funding, which is less than the amount initially projected earlier this year. Additionally, Texas Instruments was awarded up to $1.61 billion, while Amkor Technology secured up to $407 million for their respective projects.

In a strategic move to enhance its presence in the US market, Samsung has committed to a substantial investment of $37 billion over the coming years. This investment will significantly boost chip development and production capabilities within the United States, as stated by the Department of Commerce. Samsung plans to expand its operations in Texas, which includes the establishment of two new production facilities and a dedicated site for research and development. Furthermore, the company will also enhance an existing facility located in Austin, Texas. Meanwhile, Texas Instruments is set to develop three new facilities — two in Texas and one in Utah — with an impressive investment exceeding billion planned through 2029. Amkor Technology is also making strides with a planned billion investment aimed at creating an advanced packaging and testing facility in Peoria, Arizona, which is projected to become the largest facility of its type in the country.

The Commerce Department has indicated that the disbursement of these awards will be contingent upon the companies meeting specific project milestones. This structured approach not only ensures accountability but also anticipates that the funding will catalyze the creation of thousands of jobs associated with each respective project, thereby contributing to economic growth and technological advancement in the semiconductor sector.