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Samsung plans second chip fab in Taylor, Texas to meet AI demand
Tuesday, March 17, 2026 at 01:49 AM
Samsung is reportedly planning a second semiconductor fabrication plant in Taylor, Texas, mirroring the 2.7 million square foot scale of its first facility currently under development. The Taylor City Council has extended contracts for construction inspection and permitting to support the expanding campus, which is driven by rising demand for AI-related chips. While the first Taylor fab is slated for mass production in 2027, this second project remains in the early planning stages.
Context
On March 17, 2026, reports confirmed that Samsung Electronics is moving forward with plans for a second massive chip fabrication plant, Fab 2, at its semiconductor cluster in Taylor, Texas. The project has entered early regulatory stages following a unanimous vote by the Taylor City Council to extend engineering and permitting contracts. This second facility is expected to span 2.7 million square feet, matching the scale of the first plant, as Samsung moves to capture surging demand for AI-related chips and high-performance computing solutions.
The development follows a significant expansion of Samsung’s total investment in the Taylor site, which has grown to an estimated $37 billion, supported by $4.75 billion in U.S. CHIPS Act subsidies. While the first fab was initially targeted for a 2024 opening, recent updates indicate that mass production is now slated for early 2027. This delay is attributed to internal timeline adjustments and factory utilization planning as the company prepares to manufacture advanced 2-nanometer and HPC semiconductors for major clients like Google, AMD, and Tesla.
This expansion solidifies Central Texas as a primary hub for Samsung’s global foundry operations. By securing additional capacity in the U.S., the company aims to provide more reliable supply chain alternatives to TSMC for North American tech giants. The Taylor campus, which sits on over 1,200 acres, is designed with the long-term infrastructure capacity to eventually house up to 10 separate fabs if market demand continues to grow.
Sources (6)
Samsung Electronics Announces New Advanced Semiconductor Fab Site in Taylor, Texas | Samsung Semiconductor GlobalExclusive: Mass production at Samsung's Taylor plant slated to ...Samsung Taylor fab reportedly targets HPC, automotive chips; clients reach 121Samsung's Taylor, Texas fab could herald a breakthrough for the chipmaker, company plans 2026 risk production — new production flows, pellicles for EUV patterning as site targets 50,000 WSPM | Tom's HardwareSamsung Taylor Texas Fab: What Vendors Need to Know About the ...Stage being set for Samsung's next phase - Taylor Press
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