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Texas CHIPS Office

In June 2023, Governor Abbott signed into law HB 5174 (the Texas CHIPS Act) establishing the Texas Semiconductor Innovation Consortium (TSIC) and the Texas Semiconductor Innovation Fund (TSIF). The purpose of the TSIC and TSIF is to leverage Texas’ investments in the semiconductor industry, encourage semiconductor-related companies to expand in the state, further develop the expertise and capacity of Texas institutions of higher education, and maintain the state’s position as the nation’s leader in semiconductor manufacturing.

The Texas CHIPS Office is a division within the Texas Economic Development & Tourism Office (EDT) in the Office of the Governor (OOG), created to provide support to the TSIC and assist in the administration of the TSIF. EDT and OOG provide the necessary resources to assist the TSIC in performing its duties. The CHIPS Office also prepares and submits a biennial written report to the Governor and the Legislative Budget Board.

Contact Texas CHIPS Office 
Texas Semiconductor Innovation Consortium (TSIC)

The TSIC serves as an advisory panel to the Governor and the Texas Legislature and is governed by an executive committee charged with advising the Texas CHIPS Office regarding a comprehensive statewide strategic plan to further the objectives of the TSIC.

The TSIC leverages the expertise and capacity of institutions of higher education, industry and non-profit stakeholders to advise the Texas CHIPS Office regarding a comprehensive strategic plan to ensure ongoing semiconductor innovation; sustain Texas' leadership in semiconductor research, design and manufacturing; attract public and private investment in Texas related to semiconductors; identify and expand opportunities for workforce training and development related to semiconductors; and establish a forum for public and private stakeholders across the semiconductor manufacturing industry with Texas to focus on education, research and commercial production.

The TSIC is made up of a designee appointed by the office of the president for 20 academic institutions of higher education across the state. The executive committee governing the TSIC includes three members appointed by the Governor, two members appointed by each of the Lieutenant Governor and Speaker of the House, in addition to the Chancellor of the Texas A&M University System and the Chancellor of the University of Texas System or their designees.

Texas Semiconductor Innovation Fund (TSIF)

The TSIF may be used to match funding to state entities, such as institutions of higher education, for semiconductor research, design and manufacturing projects; and for grants to business entities with an established presence within the state of Texas to encourage economic development related to semiconductor manufacturing and design. In June 2023, Texas lawmakers appropriated $698 million for the new semiconductor fund. In June 2025, TSIF received an additional $250 million, totaling approximately $948 million in total appropriations. The 88th Legislature also appropriated more than $660 million for the creation of advanced research and development centers at The University of Texas at Austin and Texas A&M University.

Resources:

Texas Semiconductor Leadership

Snapshot: Texas Semiconductor Industry (2025)

Snapshot: Texas CHIPS Act (2025)

Leveraging the CHIPS Act: Texas Semiconductor Industry Incentives & Initiatives (Webinar Recording & Presentation Slides)
 

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