AUSTIN (KXAN) — On Wednesday, Gov. Greg Abbott announced SpaceX will get the fifth Texas Semiconductor Innovation Fund (TSIF) grant of $17.3 million. The money is meant to help with the company’s expansion of their semiconductor research and development and advanced packaging facility in Bastrop.
This expansion will create more than 400 jobs and more than $280 million in capital investments, according to the governor’s office.
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Governor Greg Abbott’s Office said the SpaceX expansion in Bastrop will create hundreds of jobs. (Photo: KXAN) -
Governor Greg Abbott’s Office said the SpaceX expansion in Bastrop will create hundreds of jobs. (Photo: KXAN) -
Governor Greg Abbott’s Office said the SpaceX expansion in Bastrop will create hundreds of jobs. (Photo: KXAN) -
Governor Greg Abbott’s Office said the SpaceX expansion in Bastrop will create hundreds of jobs. (Photo: KXAN) -
Governor Greg Abbott’s Office said the SpaceX expansion in Bastrop will create hundreds of jobs. (Photo: KXAN)
In 2023, Abbott signed the Texas CHIPS Act into law to establish the Texas Semiconductor Innovation Fund.
Working together with innovative industry leaders like SpaceX, Texas will continue to rank No. 1 for semiconductor research and high-tech manufacturing and secure critical domestic supply chains as we build a stronger, more prosperous Texas than ever before.”
Texas Gov. Greg Abbott
The expansion plans
The news release said over the next three years, SpaceX’s Bastrop facility will grow by one million square feet to produce Starlink kits.
“Starlink satellites provide high-speed, low-latency broadband internet to more than five million people and businesses in over 120 countries and territories,” the release said.
According to the governor’s office, the Bastrop facility will be the largest printed circuit boards and panel level packaging facility in North America.
We love Texas. SpaceX is investing hundreds of millions of dollars into our Bastrop facility. This grant will help continue to expand Bastrop’s manufacturing for Starlink to help connect even more people across the state and around the world with high-speed, low-latency internet.”
SpaceX President and Chief Operating Officer Gwynne Shotwell
What is the grant application process like?
According to the Texas Economic Development and Tourism Office’s website, the TSIF can provide grants to state entities and higher education institutions for semiconductor manufacturing and design projects.
The grant can also be awarded to business entities, with an established presence in the state, to encourage economic development for semiconductor manufacturing and design.
According to the TSIF application, the review process evaluates the following:
- Job creation
- Capital investment
- Financial strength of the applicant
- Applicant business history
- Analysis of the relevant business sector
- Public and private sector financial support
- Overall impact of applicant’s proposed project
An applicant must be able to help advance or sustain Texas’ semiconductor industry and create jobs. The TSIF website said an applicant must also show proof that a local community had prior knowledge of the proposed project.
“A demonstration of local support in the form of local economic incentives is also taken into account by the TSIC Executive Committee,” the website said.
