Samsung Ready to Begin Operations at Its US Taylor Fab

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Samsung has strong ambitions to expand its semiconductor foundry business in the United States. The company is now ready to begin operations at its new factory in Taylor, Texas. This comes after more than three years of construction and preparation.

Samsung’s Taylor fab now nears full-scale production

Samsung could begin full-scale production at Taylor fab in the second half of this year. A recent report suggests that key equipment has already started arriving at the site. Once operational, the plant could serve as a key hub for the Korean Foundry to supply chips to customers in North America.

Samsung reportedly plans to hold a ceremony on April 24 to mark the delivery of major equipment at the Taylor plant. The company’s key executives, including Foundry Division President Han Jin-man, will attend the event. Moreover, representatives from global materials, components, and equipment suppliers may also join.

Samsung suffered several setbacks during the project. The company originally planned to start operations at Taylor Plant 1 in October 2024. However, it faced delays due to difficulties in attracting clients. Last year, the construction resumed, speeding up progress by expanding its local workforce.

Samsung already secured an order to make Tesla’s next-generation AI chips, AI5 and AI6, at the new plant. The latter is worth about $16.5 billion, which is expected to recover its foundry business. The exact order volume and contract value for the former are currently unknown, but industry leader TSMC will also manufacture part of the AI5 chips.

Tesla CEO Elon Musk recently thanked both TSMC and Samsung after confirming that the AI5 chip design is complete. The chip will likely enter mass production phase sometime in 2027. Industry watchers expect that if the Korean firm meets Tesla’s quality standards, it could attract other major clients such as Meta and Microsoft. Both companies are reportedly unhappy with recent price increases from TSMC.

Written by

Binay Konwar

Binay Konwar started his blogging journey in 2014 and has since written plenty of tech articles. At present, he is working as a News Writer at SammyGuru, covering everything about Samsung. He holds a Master's degree in Mathematics, but his real passion lies in tech and writing. In his free time, he enjoys playing chess and watching movies.

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