TSMC is weighing a Texas chipmaking campus that could add tens of billions of dollars to its US investment plans beyond its $265 billion Arizona commitment, Bloomberg reported on 1 October.
Key points
- The prospective Texas campus would involve multiple fabrication plants.
- TSMC has committed $265 billion to its Arizona site.
- The Texas plans have not been finalised, Seeking Alpha reported.
Multiple fabs under consideration in Texas
The prospective Texas investment would involve multiple fabrication plants, Bloomberg reported, citing a person familiar with TSMC’s plans. The company is considering the campus as part of a multiyear expansion of its chipmaking capacity in the United States. The investment remains under consideration.
TSMC is examining further facilities outside Taiwan to handle demand for AI hardware, Bloomberg reported, citing people familiar with its plans. It makes chips for Nvidia and Apple. The Texas proposal would extend the company’s US manufacturing footprint beyond Arizona, where it is developing several fabrication plants.
The Texas plans have not been finalised, Seeking Alpha reported. Its account also described the prospective investment as additional to TSMC’s Arizona commitment. That distinction matters for the scale of the US programme: the Arizona figure covers spending the company has committed to, while the Texas amount describes a campus it is weighing.
Arizona commitment reaches $265 billion
TSMC announced another $100 billion of investment in Arizona in July, bringing its planned spending there to $265 billion, Seeking Alpha reported. The expansion is expected to add four semiconductor manufacturing and packaging facilities, taking the total number of facilities in the United States to 12.
TSMC’s first US chip plant, in Phoenix, began volume production of 4-nanometre chips in late 2024. That operation is already making chips, while the facilities covered by the further Arizona expansion remain part of the planned build-out. The proposed Texas campus would add another location to those US plans.
The second Arizona facility is expected to begin producing 3-nanometre chips. The two Arizona production milestones therefore stand at different stages: volume production began at the Phoenix plant in late 2024, and production at the second facility is still expected to begin.
Wells Fargo analyst considers Texas capacity
Wells Fargo analyst Joe Quatrochi said a potential expansion of TSMC’s 2-nanometre production could benefit semiconductor equipment makers. His assessment concerned a possible expansion of that production, rather than an announced specification for the Texas campus.
Quatrochi also identified Texas as a possible location for a second TSMC campus. He cited chipmaking operations already in the region as the basis for that view.
