San Antonio

Governor Abbott Announces $15.2 Million Grant to Boost Semiconductor Production in Round Rock, Texas

AI Assisted Icon
Published on January 15, 2026
Governor Abbott Announces $15.2 Million Grant to Boost Semiconductor Production in Round Rock, TexasSource: Google Street View

The Lone Star state just bolstered its position in the semiconductor race, with Governor Greg Abbott announcing a substantial investment into the tech scene, as reported by the Office of the Texas Governor. Tekscend Photomask Round Rock Inc., a crucial player in chip production, is the beneficiary of a $15.2 million grant aimed at escalating their photomask manufacturing prowess in Round Rock.

Capital investment totaling more than $223 million is attached to the project, along with the promise of 50 new jobs, as the existing facility gears up to surge its output by over 40%, and at the same time, this initiative is poised to catapult the company's technological capacity into the cutting-edge 12nm node spectrum, an advancement pointing toward a range of applications from AI to automotive technologies—reinforcing the state's supply chain and setting the future course of semiconductor production firmly within Texas borders, said Abbott, "This $223 million investment by Tekscend Photomask to expand production capacity at their photomask facility in Round Rock will further strengthen a critical supply chain for semiconductor manufacturing in Texas."

With this move, Tekscend Photomask not only expands its Round Rock base but also primes Texas as a hub for innovation. "The support from TSIF enables us to accelerate our expansion — boosting both our technical capabilities and our production capacity," Tekscend Photomask Round Rock President John Nykaza told the Office of the Texas Governor, affirming the organization's commitment to advancing the local industry and job market. Local politicians, including Senator Charles Schwertner, have heralded the initiative as a major stride toward advanced manufacturing within the region.

Additionally, the Texas Semiconductor Innovation Fund grant is a key part of the Texas CHIPS Act, signed into law by Abbott in 2023, endeavoring to consolidate Texas as the national leader in semiconductor research and production—and with Representative John Bucy III acknowledging, "This expansion strengthens Texas’ position as the premier destination for cutting-edge technology and reinforces our commitment to building a resilient, world-class semiconductor supply chain," it appears the investment in Tekscend Photomask is a strategic move aligned with these objectives.