Huge CHIPS Grants Awarded to TSMC, Samsung, and Micron
The U.S. government indicated this month that it plans to issue grants of more than $6 billion each to Taiwan Semiconductor Manufacturing Company, Samsung, and Micron, on the heels of an $8.5 billion grant for Intel announced last month.
TSMC is slated to receive a $6.6 billion grant and $5 billion in loans to help build a third chip factory in Phoenix, Arizona. A $6.4 billion grant to Samsung will help the South Korean company expand its existing facility in Austin, Texas, and build a network of four smaller fabs in nearby Taylor. Micron, a U.S. company, is poised to receive $6.1 billion to build new semiconductor plants in New York and Idaho. Intel’s grant will support factory construction and modernization projects in Arizona, New Mexico, Ohio, and Oregon.
All of the grants will be funded through the CHIPS and Science Act, which created a $39 billion fund to support manufacturing incentive grants. Commerce Secretary Gina Raimondo said this week that the department plans to give out all of those funds by the end of this year. These manufacturing incentives have been in such high demand that the department has suspended plans to use a portion of the incentive funds to support R&D facilities construction or modernization.