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[Alpha Biz= Paul Lee] SEOUL, November 18 — Samsung Electronics is set to invest approximately USD 1.9 billion (KRW 2.8 trillion) in its Austin, Texas semiconductor foundry as it prepares to upgrade production lines for Apple’s next-generation CMOS image sensors (CIS).
According to industry sources, the Austin City Council will vote on Nov. 20 on extending the plant’s designation under the Texas Enterprise Project, a program that grants tax refunds for new corporate investments or job creation. The extension is a key step in enabling Samsung’s additional investment.
Built in 1998, the Austin facility is Samsung’s first U.S. foundry and has focused on general-purpose semiconductors. The upcoming investment is expected to support production of CIS chips for future iPhones and other Apple devices.
In August, Apple confirmed that Samsung’s Austin plant would “supply chips that optimize power and performance for Apple products, including globally shipped iPhones.” Apple has long relied exclusively on Sony for iPhone image sensors, making Samsung’s entry into the supply chain a significant milestone. Mass supply could begin as early as 2027.
The move positions Samsung for accelerated growth in the expanding CIS market, now driven not only by smartphones but also by applications such as autonomous vehicles and humanoid robots.
Samsung is also ramping up its North American customer base. In July, the company signed a USD 16.5 billion contract with Tesla to produce AI chips. With quality validation from both Apple and Tesla, Samsung is expected to secure additional major clients.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
