After years of preparation, Texas Instruments' semiconductor factory in Sherman has officially begun production. This $40 billion facility will produce tens of millions of chips that are crucial for automobiles, smartphones, data centers, and everyday electronic products—industries that were impacted during the pandemic.
"The impact of the semiconductor industry on various sectors is astonishing. Almost everything is related to electronics or closely tied to them; therefore, the almost sole point of failure in our global supply chain was the disruptions from Taiwan and other regions during the pandemic, which taught us a lot," said James Grimsley, regional innovation officer at the Texas and Ohio Semiconductor Technology Center.
The project initially received support from the Biden administration and was warmly welcomed by Governor Greg Abbott. "Semiconductors are essential for building the artificial intelligence infrastructure that truly defines our future... With the help of Texas Instruments, Texas will continue to maintain its status as a leading semiconductor manufacturing hub, providing more job opportunities than any other state," Governor Abbott stated.
The project will create 3,000 new jobs for Dallas-based Texas Instruments (TI) and support thousands of additional jobs. "Not all of these jobs require a college degree. Many of these positions only require some vocational training after high school or graduation, allowing individuals to secure well-paying jobs with comprehensive benefits and lay the foundation for long-term career development," Grimsley added.
Producing Tens of Millions of Chips
Texas Instruments (TI) announced today that its latest semiconductor factory in Sherman, Texas, has officially begun production, just three and a half years after breaking ground. TI executives celebrated the completion of this advanced 300mm semiconductor facility in North Texas with local and state government officials.
The new factory, named SM1, will gradually increase its production capacity based on customer demand, ultimately producing tens of millions of chips that are used in nearly all electronic devices, including smartphones, automotive systems, life-saving medical devices, industrial robots, smart home devices, and data centers.
As the largest foundational semiconductor manufacturer in the U.S., Texas Instruments (TI) produces analog and embedded processing chips that are essential for nearly all modern electronic devices. With the increasing prevalence of electronic products in daily life, TI is continuously expanding its 300mm semiconductor manufacturing scale, leveraging nearly a century of innovation. By owning and controlling its manufacturing operations, process technologies, and packaging technologies, TI can better manage its supply chain, ensuring support for customers in various environments for decades to come.
TI President and CEO Haviv Ilan stated, "The launch of the latest wafer fab in Sherman exemplifies Texas Instruments' strengths: controlling every aspect of the manufacturing process to provide foundational semiconductors that are indispensable for nearly all electronic systems. As the largest manufacturer of analog and embedded processing semiconductors in the U.S., TI has a unique advantage in providing reliable 300mm semiconductor manufacturing capabilities at scale. We take pride in our nearly century-long roots in North Texas and look forward to how TI's technology will drive future breakthroughs."
TI plans to build up to four interconnected wafer fabs at its massive Sherman site, which will be constructed and equipped based on market demand. Once completed, the facility will directly create up to 3,000 jobs and generate thousands of additional jobs in related industries.
TI's investment in the Sherman factory is part of a broader investment plan that aims to invest over $60 billion in seven semiconductor manufacturing plants in Texas and Utah, marking the largest investment in foundational semiconductor manufacturing in U.S. history. TI operates 15 manufacturing sites globally, relying on decades of proven and reliable manufacturing experience to better control its supply chain and ensure customers receive the products they need.
Starting with Power Chips
TI stated that technological breakthroughs often begin with challenges, driven by those who continually ask, "What is possible?" even when their creations are unprecedented. For nearly a century, TI has held the belief that every bold idea can inspire the next generation of innovation. From vacuum tubes to transistors to integrated circuits—the cornerstones of modern electronic technology—TI has consistently pushed the boundaries of technology, with each generation of innovation building on the previous one.
With each technological leap, Texas Instruments has been at the forefront: supporting the first moon landing in outer space; enhancing safety and convenience in vehicles; driving innovation in personal electronics; making robots smarter and safer; and improving performance and uptime in data centers.
"The semiconductors we design and manufacture make all of this possible, making technology smaller, more efficient, more reliable, and more affordable," said TI.
At the new site in Sherman, the first wafer fab's production is turning potential into reality. After three and a half years of construction, TI's latest 300mm mega wafer fab in Sherman, Texas, has begun delivering chips to customers. The new wafer fab, named SM1, will gradually increase its production capacity based on customer demand, ultimately reaching a daily output of tens of millions of chips.
TI President and CEO Haviv Ilan stated, "Sherman represents what Texas Instruments does best: controlling every aspect of the technology development and manufacturing process to design and deliver the best and most innovative products for our customers."
"The chips produced at this factory will drive key innovations across various industries, from automotive and satellites to next-generation data centers. Texas Instruments' technology is at the core of these advancements—making the technology we use smarter, more efficient, and more reliable."
At the Sherman facility, TI is producing essential foundational chips for various electronic devices. "We understand that innovation and manufacturing must go hand in hand," said Muhammad Yunus, Senior Vice President of Technology and Manufacturing at TI. "Our world-class manufacturing capabilities, combined with our deep expertise in foundational semiconductor engineering, will provide our customers with long-term quality service."
TI's investment in Sherman is part of a broader plan to invest over $60 billion in seven semiconductor factories in Texas and Utah, making it the largest investment in foundational semiconductor manufacturing in U.S. history.
As TI stated, analog power products are among the first products launched by the Sherman facility, bringing advancements across various industries: creating more efficient battery management systems; achieving new advancements in automotive lighting; enabling data centers to evolve to meet the growing power demands of artificial intelligence; and extending battery life for electronic products like laptops and smartwatches.
"We are continually pushing the limits of our power product portfolio—achieving higher power density, extending battery life with lower standby power consumption, and reducing electromagnetic interference characteristics, which helps make systems safer, regardless of voltage," said Mark Gary, Senior Vice President of TI's Analog Power Products Business.
Power products are the first category of products to be produced at the Sherman factory, but this is just the beginning. In the coming years, the factory will be able to produce the full range of Texas Instruments products, supporting future technological breakthroughs.
"Our latest Sherman factory will have an immediate impact on the market, and it's exciting to think about how these initial products will change technology," Mark said.
TI noted that its breakthroughs in the semiconductor field continuously drive progress across various industries and power the world's most ambitious ideas. With factories like Sherman, TI is ready to support future developments.
From life-saving medical devices to next-generation data centers, TI's technology powers the things that the world relies on. "TI often says, 'If it has a battery, cable, or power supply, it likely contains Texas Instruments technology,'" Yunus said.
At Texas Instruments, being first is not the end; it is the starting point for infinite possibilities.
Post time: Dec-15-2025