Last month, it was reported that Samsung would receive a $6 billion funding package from the US government to build advanced chip factories in the country. To date, that information has been confirmed and they will provide funding worth $6.4 billion to Samsung Electronics to invest in chip production in Texas.

Samsung will invest 44 billion USD in chip production in Texas, USA

The US government today announced that it plans to provide tax incentives of up to $6.4 billion to Samsung Electronics. The Department of Commerce has reached a preliminary agreement with the Korean company under the Nation's CHIPS and Science Act. This grant has helped reduce the burden of implementing the project to build an additional chip factory in Texas.

Samsung already has a chip manufacturing facility in Austin and the company is planning to build another factory in Taylor to boost semiconductor production in the US. Additionally, the project includes a research and development site, as well as an advanced chip packaging facility in Taylor City.

Expanding the production scale in this country aims to reduce dependence on other countries such as China, Korea, and Taiwan. It will also boost the aerospace, automobile, electronics, and defense industries.

β€œThe return of leading-edge chip manufacturing to the United States is an important new chapter in our semiconductor industry,” said U.S. National Economic Advisor Lael Brainerd. US President Joe Biden has offered similar incentives and tax incentives to competing chip companies, including Intel, Global Foundries, Microchip Technology Inc., and TSMC.