Samsung Electronics will produce the latest generation of semiconductors in the US two years ahead of its rival Taiwan Semiconductor Manufacturing Company, in a further boost to President Joe Biden’s efforts to bring advanced chip production on to home soil.
US commerce secretary Gina Raimondo announced on Monday that the South Korean chipmaker was set to produce chips at the 2 nanometre level of miniaturisation at a new fabrication plant, or fab, it was building in the city of Taylor in Texas. It will be part of a $40bn investment in capabilities ranging from the manufacturing of microprocessors to advanced chip packaging and research and development work.
Samsung will receive up to $6.4bn in direct funding under the US Chips and Science Act, a week after the US government announced that TSMC would receive up to $6.6bn from the flagship subsidy programme to support its chip expansion plans in Arizona.