Governor Abbott Announces Support For Texas CHIPS Act

March 15, 2023 | Austin, Texas | Press Release

Governor Greg Abbott today announced his support for the proposed Texas CHIPS Act legislation at a press conference at the Texas Capitol in Austin. The proposed Texas CHIPS Act would leverage Texas’ investments in the semiconductor industry, encourage semiconductor-related companies to expand in the state, leverage the expertise and capacity at Texas higher education institutions, and maintain Texas’ position as the nation’s leader in semiconductor manufacturing.
“Texas is the birthplace of the integrated circuit, and we have since risen as the number one state in America for semiconductor manufacturing,” said Governor Abbott. “In order to achieve our promise for the remainder of this century, we need to pass the Texas CHIPS Act. This is a national competition to design and build the future of semiconductors, and it is a race that Texas must win for our state, our workforce, our national security, and our future. With this legislation, Texas will not only remain number one in America for semiconductors—we will be number one in the world. I thank Chairman Bonnen and Chairman Huffman for proposing this important legislation so that Texas can have the tools needed to continue our dominance in this critical industry.”
The Governor was joined at the press conference by Texas CHIPS Act authors Senate Finance Committee Chair Joan Huffman and House Appropriations Chair Dr. Greg Bonnen, as well as Senator Brian Birdwell, Representative Angie Chen Button, Representative John Kuempel, Texas A&M Chancellor John Sharp, The University of Texas President Jay Hartzell, and other higher education, industry, and business leaders. 
The Texas CHIPS Act would create the Texas Semiconductor Innovation Consortium to sustain Texas leadership in advanced semiconductor research, design, and manufacturing; leverage the expertise of Texas’ higher education institutions and stakeholders to develop a comprehensive strategic plan to ensure future semiconductor innovation; expand workforce development training; and attract new investments to the state for semiconductors. Additionally, the Texas CHIPS Act would establish the Texas Semiconductor Innovation Fund to provide funding for higher education institutions seeking semiconductor manufacturing and design projects and issue grants to businesses to encourage economic development related to semiconductor manufacturing and design.
In 2021, Governor Abbott formed the National Semiconductor Centers Texas Task Force—prior to the passage of the federal CHIPS and Science Act—to bring together state government, industry leaders, higher education institutions, and workforce stakeholders to create a strategic plan to keep Texas a national leader in the semiconductor industry. 
In his 2024-2025 proposed state budget, Governor Abbott directs the Texas Legislature to consider a cross-government approach that would ensure Texas remains competitive for the $53 billion in U.S. CHIPS and Science Act funding opportunities and make available state funding to boost federal funds provided through the program. 
Read Chairman Bonnen's companion legislation. 
Read Chairwoman Huffman's companion legislation