Texas Gov. Greg Abbott (R-Texas) announced Thursday that LTD Material LLC will receive over $1 million in state funding to build an 88,000-square-foot semiconductor manufacturing facility in Austin.
The expansion represents a $25 million capital investment and will create 40 new jobs.
The grant comes from the Texas Semiconductor Innovation Fund as the state pushes to strengthen domestic chip production. Rising demand for semiconductors and concerns about foreign supply chain dependence have made the industry a strategic priority.
“Texas leads America’s resurgence in semiconductor manufacturing,” Abbott said in a news release from the Governor’s Office. “With this $25 million capital investment, LTD Material is helping to expand an already robust supply chain that is essential to the growing semiconductor manufacturing ecosystem in Texas.”
LTD Material produces high-purity quartz parts essential for wafer fabrication. The new facility will sit adjacent to the company’s existing plant and include research and development capabilities.
The company plans to train CNC machinists and glass blowers for specialized technical roles. These positions offer career opportunities without requiring college degrees.
“The TSIF grant allows LTD Material to meet the surging demand from U.S. semiconductor foundries while reducing dependence on foreign quartz suppliers, a key strategy to the government’s focus on strengthening overall national security,” said LTD Material CEO Kevin Nguyen, per the news release. “Since the beginning, LTD Material chose the state of Texas for its headquarters exactly due to this type of civil leadership in innovation, workforce development, and economic competitiveness.”
Austin has emerged as a major semiconductor manufacturing hub. The city hosts facilities from Samsung, NXP, and Applied Materials.
“Austin is the beating heart of our state’s semiconductor industry,” said state Sen. Sarah Eckhardt (D-Austin). “I’m excited for the many good jobs this project will create locally and sustain for years to come.”
The Texas CHIPS Act, signed by Abbott in 2023, established the semiconductor fund. The program aims to maintain Texas’s leadership position in chip manufacturing while developing university expertise and capacity.
The Texas CHIPS Office administers the grants through the Governor’s economic development division. The fund represents part of broader state efforts to capitalize on federal semiconductor investments and reduce reliance on Asian suppliers.