Samsung Targets Late 2026 Launch for Advanced Texas Chip Fab Following Delays [Report]
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Posted April 21, 2025 at 2:59pm by iClarified
Samsung Electronics has confirmed its large Texas chipmaking plant in Taylor is now targeting a late 2026 start for operations. That's a shift from earlier plans for the advanced semiconductor facility, following several reported delays, according to industry sources cited by DigiTimes. Announced back in 2021 with a $17 billion price tag aiming for cutting-edge chip production – the kind Apple relies on for its A-series and M-series processors – the facility was first expected to ramp up by the end of this year. Samsung says the new timeline allows more time to get customers lined up and ensure production yields are solid.
Despite some speculation about potential slips into 2027, the company has reaffirmed the late 2026 goal. Samsung Austin Semiconductor (SAS), the US manufacturing arm, confirmed staff are already being brought onboard to support the eventual ramp-up.
Financial filings indicate a significant increase in Samsung's construction-in-progress assets, reaching roughly $37.34 billion by the end of last year, a figure nearly triple that of 2021. A large portion of this increase is linked to the Taylor project, with SAS assets growing substantially over the same period.
However, further postponements could introduce complications. Delays might affect Samsung's eligibility for crucial federal subsidies under the CHIPS Act, which often depend on hitting specific construction and production milestones. They could also potentially impact local property tax abatement agreements secured with Williamson County and the City of Taylor.
Samsung is reportedly taking steps to cultivate local talent, launching a paid summer internship program with area high schools for its Austin and Taylor sites. This comes amid observations of fluctuating worker presence near the site, which the company describes as normal for different construction phases.
Meanwhile, competitor TSMC – currently Apple's primary chip fabricator – isn't standing still with its own US expansion in Arizona. TSMC has reportedly finished its second fab there (for 3nm chips, the node used in recent iPhones) and aims to start building plants for 2nm and beyond next year. This foundry competition is critical for companies like Apple seeking access to the most advanced manufacturing. When Samsung's Taylor facility does come online, it should eventually add about 3,500 jobs to the area. It's unclear, however, whether the plant will produce chips using the originally planned sub-2nm process or focus on other nodes like 3nm or 4nm.