The Korean brand ‘Samsung’ has invested a huge amount of money in its US chip-making facilities. Back in 2021, the brand announced a $17 billion project for a semiconductor plant in Taylor, Texas, that appeared to begin mass production of chips later this year. Next week, we expect the brand to reveal its $44 billion US chip investment.
The US government is assuring billions of dollars in subsidies to chipmaking brands just in exchange for developing new facilities in the home country, ‘US.’ The Korean giants are one of the recipients, and for taking advantage of this impulse, they have increased their total investment to over $44 billion.
Already, the Korean giants have invested over $20 billion to produce in the US, and recent reports are reporting that they are now raising that investment to $44 billion. It is expected that Samsung will build an additional semiconductor plant, a chip packaging plant, and chip research, as well as development space, in Texas. The reports say that the US government is offering a $6 billion grant under the CHIPS Act to produce high-end semiconductor facilities in the country.
Not only Samsung, but other brands also got a grant from the US government under this act, which is as follows:
- Intel: $20 billion
- TSMC: $11.6 billion
- Samsung: $6 billion
Apart from the grant, the brands also got a loan award on top of this amount. Now it is expected that Samsung is looking forward to confirming this $44 billion investment officially by next week, and an official announcement next week will set off a long due diligence period during which the final terms of this agreement will be settled between Samsung and the Commerce Department.
