Apple’s key partner, Texas Instruments (TI), is making a massive $60 billion investment to boost semiconductor manufacturing across the U.S. The move will create over 60,000 jobs and secure the supply of essential chips used in everything from iPhones to cars. This expansion encompasses several fabrication plants in Texas and Utah, supporting America’s efforts to rebuild its domestic chipmaking capabilities.
What’s Happening & Why This Matters
Texas Instruments announced a $60 billion plan to build and expand seven chip factories in Sherman and Richardson, Texas, as well as in Lehi, Utah. These plants will focus on producing 300mm wafer chips, which are crucial for analog and embedded semiconductor components.
These chips power critical functions like power management and touchscreen controllers in Apple devices. Unlike high-performance processors, these foundational chips don’t break speed records, but they provide reliable and affordable components for millions of devices.
TI’s investment represents the largest commitment to foundational U.S. chipmaking to date. This scale of expansion strengthens supply chains amid growing global demand and geopolitical tensions around semiconductor access.
Apple CEO Tim Cook praised TI’s role, saying, “Texas Instruments’ American-made chips help bring Apple products to life, and together, we’ll continue to create opportunity, drive innovation, and invest in the future of advanced manufacturing across the U.S.”
Automaker Ford also supports the investment. CEO Jim Farley noted most Ford vehicles sold in the U.S. are domestically built and stressed that partnering with U.S.-based chip manufacturers secures supply chains critical for production.
While Apple designs its cutting-edge chips and relies on overseas fabs (e.g., TSMC), the company continues sourcing essential components from TI. Strengthening domestic suppliers aligns with Apple’s goal of resilient, U.S.-based manufacturing.
The investment comes as the U.S. government promotes onshoring semiconductor production to compete with China and secure supply. Commerce Secretary Gina Raimondo commended TI’s efforts, noting that these investments support U.S. competitiveness for decades.
TI’s mature 300mm fabs can produce chips efficiently with predictable yields and scale, avoiding constant pressure to shrink process nodes. Though expensive and slow to pay off, these fabs give TI control over pricing and supply, meeting growing demand for dependable chips.
TF Summary: What’s Next
Texas Instruments’ $60 billion investment marks a new era for U.S. semiconductor manufacturing. By expanding chip production in Texas and Utah, TI strengthens the supply chain for Apple and other major customers.
As geopolitical tensions persist, this investment bolsters America’s position in critical tech industries. TF expects more companies to increase domestic manufacturing to ensure stability and innovation.
— Text-to-Speech (TTS) provided by gspeech