Samsung Electronics has announced plans to build a new semiconductor manufacturing facility in Taylor and invest $17 billion in boosting the production of semiconductors in the U.S.

“This is the largest foreign direct investment in the state of Texas ever,” said Gov. Greg Abbott during a press conference announcing the project.

The new plant will make chips for mobile devices, 5G, high-performance computers, and artificial intelligence.

“As we add a new facility in Taylor, Samsung is laying the groundwork for another important chapter in our future,” Kinam Kim, Vice Chairman and CEO, Samsung Electronics Device Solutions Division, said in a news release. “With greater manufacturing capacity, we will be able to better serve the needs of our customers and contribute to the stability of the global semiconductor supply chain.”

“In addition to our partners in Texas, we are grateful to the Biden Administration for creating an environment that supports companies like Samsung as we work to expand leading-edge semiconductor manufacturing in the U.S.,” Kim said. “We also thank the administration and Congress for their bipartisan support to swiftly enact federal incentives for domestic chip production and innovation.”

Samsung plans to break ground on the new 5 million square foot plant in the first half of next year and it expects it to be operational in the second half of 2024.

Samsung began operations in the U.S. in 1978. With the latest investment, Samsung’s total investment in the U.S. is more than $47 billion and the company has more than 20,000 employees in the U.S.

“Companies like Samsung continue to invest in Texas because of our world-class business climate and exceptional workforce,” Abbott said in a news release. “Samsung’s new semiconductor manufacturing facility in Taylor will bring countless opportunities for hardworking Central Texans and their families and will play a major role in our state’s continued exceptionalism in the semiconductor industry.”

Samsung chose the Taylor site for its plant based on the local semiconductor ecosystem, infrastructure stability, local government support, and community development opportunities. It is also only 25 kilometers from Samsung’s current manufacturing site in Austin.

The Samsung plant is expected to create more than 2,000 high tech jobs. It is also creating a Samsung Skills Center for the Taylor Independent School District to help students develop skills to work at the plant.

Samsung is receiving a $27 million Texas Enterprise Fund grant for its job creation. Also, Samsung has been offered a $20,000 Veteran Created Job Bonus.

“Samsung Austin Semiconductor has been proud to call Texas home for more than 25 years,” Dr. Sang Sup Jeong, President of Samsung Austin Semiconductor said in a news release. “We are excited about our growth and future opportunities in Central Texas and appreciate the support from all Central Texas leaders.”

“Samsung’s decision to locate its cutting-edge semiconductor fabrication plant in Taylor is the single most significant and consequential development for the local economy since the International & Great Northern Railroad laid tracks here in the 1870’s,” Taylor Mayor Brandt Rydell said in a news release.

“Williamson County has again proven to be a leader in attracting the world’s top technology companies,” said Williamson County Judge Bill Gravell. “With the addition of Samsung on the east side of our county, Apple on the west side, and Dell Computers World headquarters in the center, Williamson County is now home to the technology superhighway of the world.”