Texas Instruments stock rises after announcing $60 billion US manufacturing investment

Investing.com -- Texas Instruments (NASDAQ:TXN) stock rose 1.2% after the company announced plans to invest more than $60 billion across seven semiconductor manufacturing facilities in the United States, marking what it calls the largest investment in foundational semiconductor manufacturing in U.S. history.

The Dallas-based chipmaker said the investment will expand its U.S. manufacturing capacity to meet growing demand for semiconductors used in various applications from vehicles to smartphones and data centers. TI’s new manufacturing mega-sites in Texas and Utah are expected to support more than 60,000 U.S. jobs.

TI is currently the largest foundational semiconductor manufacturer in the U.S., producing analog and embedded processing chips critical for electronic devices. The expansion aims to help customers "pioneer the next wave of technological breakthroughs," according to the company.

The investment includes building and ramping up seven large-scale, connected fabs across three manufacturing sites. In Sherman, Texas, TI’s first new fab will begin initial production this year, while construction is complete on the exterior shell of a second facility. The company also plans two additional fabs at this location.

In Richardson, Texas, TI continues to ramp up production at its second fab, RFAB2, while in Lehi, Utah, the company is increasing production at its first 300mm wafer fab and constructing a second connected facility.

TI highlighted partnerships with major U.S. companies including Apple (NASDAQ:AAPL), Ford, Medtronic (NYSE:MDT), NVIDIA (NASDAQ:NVDA), and SpaceX, which rely on its semiconductor technology for their products.

U.S. Secretary of Commerce Howard Lutnick noted that President Trump has prioritized increasing semiconductor manufacturing in America, particularly for "foundational semiconductors that go into the electronics that people use every day."

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