Dallas

Abbott Drops $33.6 Million on TI's Richardson Chip Fab Upgrade

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Published on July 09, 2026
Abbott Drops $33.6 Million on TI's Richardson Chip Fab UpgradeSource: Gage Skidmore from Peoria, AZ, United States of America, CC BY-SA 2.0, via Wikimedia Commons

Gov. Greg Abbott is cutting a sizable check to keep Texas in the chip game, announcing today that the state will award Texas Instruments a $33.6 million grant from the Texas Semiconductor Innovation Fund to expand capacity and technology at TI’s 300mm wafer fab in Richardson. The state announcement pegs the overall project at about $700 million in capital investment, as Texas pushes to grow domestic semiconductor manufacturing and draw in more suppliers and skilled workers.

In a post from the governor’s press office, the Governor Abbott Press Office, the administration said the money will support “expanded capacity and technology investments” at the Richardson site and confirmed that TI, a Fortune 500 company headquartered in Dallas, is the recipient. The release framed the grant as one piece of a broader statewide strategy to support chip production and related technologies in Texas.

What the grant will pay for

TI's Richardson press kit notes that the campus houses two connected 300mm wafer fabs, RFAB1 and RFAB2, along with hundreds of thousands of square feet of clean-room space, making the site a central piece of TI's analog manufacturing footprint in North Texas. “The award recognizes TI's investment in its Richardson semiconductor manufacturing factory,” Mohammad Yunus, TI’s senior vice president for technology and manufacturing, said in the state release. Sen. Bob Hall added that the expansion “reinforces Texas's role in strengthening America's supply chain, national security, and technological leadership.”

Where the funding comes from

The grant is coming out of the Texas Semiconductor Innovation Fund, which is administered by the Texas CHIPS Office inside the governor’s Economic Development & Tourism Office. The Texas CHIPS Office explains that the TSIF was created by the Texas CHIPS Act in 2023 and then received additional appropriations through 2025, bringing total program funding to roughly $948 million. State leaders have been using TSIF awards to compete for fabrication, supplier, and training projects across Texas.

Local impact and next steps

For Richardson, the money is another sign that North Texas is set to remain a major chip manufacturing hub. Texas Instruments has already announced a multi-billion U.S. manufacturing program in 2025 that includes new and expanded fabs. Texas Instruments said that the effort will increase 300mm capacity to serve sectors ranging from automotive to satellites. The governor's post did not include a construction timeline or jobs estimate for the Richardson upgrades, so local officials and TI will be the key sources to watch for rollout and hiring details.

Dallas-Science, Tech & Medicine