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Austin still in play for $17 billion Samsung fab, experts say
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In Austin, tech giants press Congress to boost the chip industry
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NorthPoint Development will build space for reported Tesla supplier in Texas
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Weeks after it was shut down amid power outages during last month s Texas freeze, Samsung s Austin fabrication facility still has not resumed operations. The situation is likely costing the technology giant millions of dollars, industry experts said.
Coupled with the simultaneous shutdown of NXP Semiconductors two Austin fabrication facilities, the situation is turning into an economic disaster for the semiconductor industry in Central Texas, said Ed Latson, executive director of the Austin Regional Manufacturers Association.
Samsung, which is the biggest electricity user on Austin Energy s power grid, and NXP were among several large industrial power users that were ordered to shut down their Austin operations the week of Feb.15.
Potential price hikes incoming on March 4, 2021, 5:17
TL;DR: Just when you thought the global semiconductor shortage couldn t get any worse, we re now hearing that the winter storm in Texas last month has left chip makers in the area dealing with the consequences of temporarily shutting down their fabs. It will take several weeks before production can restart, exacerbating the ongoing industry problems and possibly leading to more price hikes for some products.
As reported by Reuters, Samsung, NXP Semiconductors, and Infineon Technologies were all ordered to close their factories in Austin, Texas, last month so power could be prioritized for people s homes, a result of the winter storm that killed at least 21 people.