Taiwan Semiconductor Manufacturing Company is reportedly evaluating a second U.S. campus in Texas, with plans that could eventually include six advanced wafer fabs built around the Dallas area and an investment topping $265 billion. The chipmaker’s board of directors has not approved the plan, and its suppliers have not yet been notified to begin preparations, according to people familiar with the matter.
The report, first detailed by finance.biggo.com, cites supply chain sources who point to Dallas as the most likely location for the expansion. It would mark a dramatic escalation from TSMC’s existing Arizona buildout, where the company has already committed $265 billion — an investment the outlet describes as the largest single foreign direct investment in U.S. history. TSMC is expected to address its overseas investment plans during its third-quarter earnings call on October 15, though the company typically does not comment on market speculation or analyst estimates, the report notes.
If Texas becomes the site of TSMC’s next major expansion, it would be entering a region that has already reshaped itself around semiconductor manufacturing. Texas Instruments has its headquarters and multiple facilities in the Dallas area, and the state offers relatively low electricity costs, abundant land, and investment incentives that have proven attractive to chipmakers, per the same report.
Arizona’s Head Start and Texas’s Growing Pull
TSMC’s Arizona campus offers a preview of what a Texas commitment might look like over time. The company achieved high-volume production of 4-nanometer chips at its first Phoenix facility in the fourth quarter of 2024, and structural construction of its second Arizona fab wrapped up in 2025, according to TSMC. Volume production of 3-nanometer chips at that second fab is scheduled for the second half of 2027, while the Arizona campus is progressing from 5-nanometer toward 2-nanometer process technology, per the finance.biggo.com report…