$11 billion capex
February 15, 2023
The Utah Governor’s Office of Economic Opportunity and the Economic Development Corporation of Utah (EDCUtah) are pleased to announce that Texas Instruments Incorporated (TI) plans to bring up to 800 new high-tech jobs to Lehi, Utah, during the next 20 years. Capital expenditures associated with the project are $11 billion, the largest investment resulting from a corporate recruitment project in Utah history.
“Companies like Texas Instruments continue to invest in Utah because of our world-class business climate and exceptional workforce,” said Utah Governor Spencer Cox. “TI’s new semiconductor factory will solidify Utah as a global semiconductor manufacturing hub for generations to come.”
Texas Instruments designs and makes semiconductors that are then sold to electronics designers and manufacturers all over the world. With its headquarters in Dallas, TX, the company has design, manufacturing, and sales operations in more than 30 countries with around 33,000 employees worldwide. Their new state-of-the-art facility will be located on TI’s existing site in Lehi, Utah.
“We’re excited Texas Instruments has decided to build a second factory in Lehi,” said Ryan Starks, the Office of Economic Opportunity’s executive director. “This new factory will bring significant capital investment to the state along with hundreds of high-tech jobs. This is a big win for the state and Lehi City.”
TI plans to invest in a semiconductor wafer fabrication facility, which would include industrial buildings, tools, machinery and equipment used to fabricate advanced 300-millimeter (“mm”) semiconductor wafers that would be assembled into finished semiconductors and then sold to electronics designers and manufacturers all over the world for use in industrial, automotive, communications, personal electronics, and enterprise products.
“Our decision to build a second fab in Lehi underscores our commitment to Utah, and is a testament to the talented team there who will lay the groundwork for another important chapter in TI’s future,” said Haviv Ilan, TI executive vice president and chief operating officer, and incoming president and chief executive officer. “With the anticipated growth of semiconductors in electronics, particularly in industrial and automotive, and the passage of the CHIPS and Science Act, there is no better time to further invest in our internal manufacturing capacity.”
Passed by the U.S. Congress in 2022, the Creating Helpful Incentives to Produce Semiconductors and Science (CHIPS) Act is designed to boost U.S. competitiveness, innovation, and national security by catalyzing investments in domestic semiconductor manufacturing capacity. The CHIPS Act directs $280 billion in spending over the next ten years, with $52.7 billion specifically for semiconductor manufacturing.
“The federal government recognized at the front end of the pandemic that our country’s reliance on overseas semiconductor manufacturing is a national security issue. This project represents a significant step toward strengthening the U.S. supply chain,” said Scott Cuthbertson, president and CEO of EDCUtah. “Texas Instruments’ commitment of this transformational investment will have a lasting impact on Lehi and Utah’s manufacturing industry for generations.”
“Lehi City has been pleased to have TI as a community partner. TI has brought great opportunities to our city, our state, and our country at a critical time in the semiconductor industry,” said Lehi City Mayor Mark Johnson. “We are excited for our relationship to continue with TI regarding this expansion.”