A video: “How Texas Became The American Chipmaking Hub”

Texas is becoming a manufacturing hub for microchips as the cost of making smaller transistors increases.

00:03 Texas is becoming the hub for manufacturing microchips.

02:17 Texas Instruments invented the integrated circuit and is a leading semiconductor company.

04:24 Samsung is expanding its chip manufacturing in Texas.

06:38 The majority of advanced chips are made in Taiwan, and the US needs to prioritize domestic manufacturing.

08:49 Texas is a hub for chip manufacturing with several major companies operating there.

10:45 Samsung and TI are investing billions in equipment for semiconductor fabs in Texas.

12:50 Texas is working on ensuring water supply for its growing population and businesses

15:02 Texas power grid failures in 2021 led to outages and deaths

Detailed Summary for How Texas Became The American Chipmaking Hub by Merlin

00:03 Texas is becoming the hub for manufacturing microchips.
– Texas has the space, materials, and low cost of doing business, making it well situated for chip manufacturing.
– Manufacturing chips on U.S. soil is a priority due to geopolitical tensions.
– Chip giants like Samsung, Texas Instruments, and Apple have ramped up operations in Texas.
– Texas has clean rooms and chip fabrication plants worth a total of $47 billion.

02:17 Texas Instruments invented the integrated circuit and is a leading semiconductor company.
– The transistor, the most basic building block of semiconductors, was invented by William Shockley’s team three years earlier.
– Jack Kilby at Texas Instruments filed for a patent of the integrated circuit in 1958, enabling miniaturization of chips.
– Texas Instruments built the first handheld calculator in 1967 and is known for graphing calculators used in classrooms worldwide.
– Texas Instruments produces 80,000 products and ships to 100,000 customers, including analog and power management ICs.
– TI’s RFAB2 facility in Richardson produces a combined 100 million analog chips per day with its second fab in operation.
– Texas Instruments is constructing a $30 billion fab in Sherman, Texas, to further expand its manufacturing capabilities.

04:24 Samsung is expanding its chip manufacturing in Texas.
– The new site in Taylor will be used to make advanced chips in the U.S.
– Texas offers tax incentives and access to top research universities.

06:38 The majority of advanced chips are made in Taiwan, and the US needs to prioritize domestic manufacturing.
– 92% of the world’s advanced chips are made in Taiwan.
– China’s threat to invade Taiwan could cut the US off from the majority of advanced chips.
– The US needs to manufacture everything it needs to avoid relying on hostile countries.
– The US share of global chip production has dropped from 37% to 12%.
– It costs at least 20% more to build and operate a fab in the US compared to Asia.
– The Chips Act aims to increase US chip manufacturing by setting aside $52 billion.
– Texas is hoping to attract a significant portion of these federal dollars.
– Over 50 new semiconductor projects have been announced in the US, leading to thousands of new jobs and billions in investment.
– Texas alone has attracted over $61 billion in chip fab investments.
– The Samsung and Texas Instruments fabs are some of the largest investments.
– The $30 billion Texas Instruments fab in Sherman is the biggest investment, benefiting a city of 45,000 people.
– Arizona has taken the lead in new chip fab investments with a $20 billion project from Intel.

08:49 Texas is a hub for chip manufacturing with several major companies operating there.
– TSMC is a major player in the industry with a $40 billion site.
– Texas Instruments has had a chip fab in Sherman since 1966.
– Infineon Technologies makes automotive chips in Austin.
– NXP Semiconductors has two fabs in Austin with plans for expansion.
– Samsung is building a 1,200-acre advanced fab north of Austin.

10:45 Samsung and TI are investing billions in equipment for semiconductor fabs in Texas.
– $11 billion of Samsung’s $17 billion investment is going towards machinery and equipment.
– Tools made by ASML and Applied Materials are crucial for the most advanced chips.
– Texas is attractive for companies like GlobalWafers and Texas Instruments due to access to water resources.

12:50 Texas is working on ensuring water supply for its growing population and businesses
– Water scarcity is a concern in some parts of Texas due to drought
– Legislation and the Texas Water Board are addressing water supply issues
– Samsung is making efforts to reuse water and reduce waste in chip production
– Chips manufacturing requires a significant amount of power
– Texas has its own independent power grid

15:02 Texas power grid failures in 2021 led to outages and deaths
– Governor Abbott signed 12 laws to improve power grid reliability
– Companies like Samsung and Infineon switched to renewable power
– Intel aims to cut costs and sell its Austin research hub
– Texas Instruments is expanding its fab facility