Texas Instruments opens $60 billion semiconductor plant in Texas with Apple as key customer

At a White House press conference in July where President Donald Trump unveiled a 100% tariff on chips from companies not producing in the U.S., Apple CEO Tim Cook increased Apple’s U.S. investment pledge to $600 billion over the next four years, up from the $500 billion announced in February. Cook noted that part of this investment will fund the production of “critical foundation semiconductors” for iPhones and other devices at Texas Instruments’ new chip fabrication facilities in Utah and Texas.

Katie Tarasov for CNBC:
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In July, CNBC became the first news organization to see the inside of TI’s newest fab in Sherman, Texas. There, full production is on schedule to start by the end of 2025. It’s one of seven new factories the chipmaker is building in the U.S. to provide chips to major customers like Nvidia, Ford Motor, Medtronic and SpaceX.
Although Texas Instruments doesn’t make the world’s most advanced chips, its essential components are found almost everywhere, from smartphones to the graphics processing units powering generative AI.
“If you have anything that plugs into the wall, or has a battery in it, or has a cord in it, you probably carry more than one TI chip in it,” said Mohammad Yunus, TI’s senior VP of technology and manufacturing.
TI’s $60 billion megaproject includes four fabs in Sherman, Texas, one in Richardson, Texas, and two in Lehi, Utah. The new fabs will give TI five times the capacity it has today, Yunus told CNBC.
As for federal support, TI got $1.6 billion of CHIPS Act funding, and a whopping 35% investment tax credit from Trump’s big bill passed in July.
At the state level, Gov. Greg Abbott has long offered incentives to chip companies willing to build in the state, from low taxes to the $1.4 billion Texas CHIPS Act passed in 2023.
Samsung is the other chip giant in Texas since 1996. The South Korean company is building a $17 billion advanced chip fab near Austin. That’s also where Apple, Amazon and AMD design many of their chips. Other chip companies in Texas include Infineon, NXP, X-Fab, Micron, GlobalFoundries, and tool supplier Applied Materials.

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MacDailyNews Note: Apple CEO Cook’s speech in the Oval Office on August 6, 2025:

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