It’s a long time ago Samsung announced its intention to establish a new chip factory in the United States. $17 Billion Decision originating from Samsung. The cost of the entire project is approximately $17 billion. State and local officials try to win Samsung with incentives and tax breaks.
Samsung has not yet decided on the location of its new factory. However, it is said that the decision could come very soon.
Samsung has lucrative tax cuts
Texas’ Williamson County judge, Bill Gravell, said Samsung’s decision was imminent. “My experience with Samsung is that they are agile and act quickly,” he added. Williamson County is working on this new project.
Samsung has previously indicated that it wants to start construction of the new chip factory as of January 2024. She expects the factory to be operational by the end of 2024. Samsung is considering Austin and Williamson County in Texas as potential locations. In addition, there are options in New York and California.
Gravell is an elected official and has participated in local negotiations with Samsung. The company is convinced that Samsung will choose Williamson County, as it has already begun core sampling and land surveying, engineering and design work. The region is no stranger to major tech companies. Dell has its headquarters there and an Apple Campus will be built there in the future.
Business executives are exploring the benefits both states offer and are also considering Genesee County as a potential location. However, there is the option of leaving the United States altogether and returning to South Korea.
Estimates say setting up the New York factory could cost Samsung $17 Billion. It’s not immediately clear what products will be produced in the new facility, but we’re probably looking at 5nm chipsets. Samsung could also use it to support 8nm chip production given the high demand for Nvidia’s high-end GeForce RTX 3000 series graphics cards.
The US Federal Government is expected to offer Samsung up to $2 billion in tax breaks to set up a factory within its borders. The company will also receive significant tax breaks from local government agencies to fund necessary infrastructure improvements. to seduce Samsung, Williamson County commissioners approved a massive stimulus package this week. It will pay back 90% of property taxes to Samsung for the first 10 years and 85% for the next 10 years. To receive this incentive, Samsung must meet established construction deadlines and create 1,800 full-time jobs.
Source: SamMobile, Reuters