Governor Abbott Announces Texas Semiconductor Innovation Fund Grant to Arm Inc.

TEXAS, February 12 - February 12, 2026 | Austin, Texas | Press Release

Governor Greg Abbott today announced that a Texas Semiconductor Innovation Fund (TSIF) grant of $4,162,550 has been extended to Arm Inc. for an expansion of their Austin campus to include a new semiconductor lab with failure analysis capabilities. The expansion is expected to create more than 320 jobs and represents more than $71 million in capital investment.

“Texas is where the world innovates,” said Governor Abbott. “This $71 million expansion of Arm's engineering and innovation hub in Austin will create hundreds of skilled jobs and enhance Texas’ leadership in semiconductor design and manufacturing. Partnering with industry leaders, Texas is investing in the tech advances of tomorrow - today.”

Arm, a U.K.-based global technology company, specializes in designing low-power, high-performance processor architectures including central processing units (CPUs), graphics processing units (GPUs), and neural processing units (NPUs). Arm’s Austin operation is central to designing advanced processors for mobile, cloud, and data center applications. 

“Austin is home to Arm’s largest U.S. site and is a rapidly growing center for advanced chip design,” said Arm CEO Rene Haas. “This investment from the Governor’s Office accelerates that momentum and strengthens Texas’ position as a global semiconductor leader. We’re expanding our labs, strengthening our capabilities, and creating hundreds of new roles — building the future of compute and AI in the U.S. and developing the next generation of semiconductor talent.”

“I’m excited that global companies view Texas as an appealing destination for continued investment,” said Senator Sarah Eckhardt. “Companies like Arm Inc. don’t make big investments in Texas just because they like the weather or get hooked on the BBQ. They come because we attract talent here that you simply can’t find anywhere else in the world. We can keep it that way by holding the door open to anyone who wants to lend their brilliant minds and skilled hands to building our future. Arm’s latest investment expands an essential workforce in our state and brings new neighbors who add to the vibrancy of Central Texas, so important to our ongoing prosperity.”

“For decades, Austin has invested and focused on transforming our region into a technology and innovation hub,” said Representative Donna Howard. “As a result, our community is driving the industry forward; this grant will build upon this mission by creating jobs and will spur continued capital investment in our region. This growth is not only good for Austin, but it is also good for Texas. I look forward to working with my colleagues to ensure we continue to invest in programs that will provide economic benefits at the local, regional, and state levels.”

View more information about Arm.

Governor Abbott signed the Texas CHIPS Act into law in 2023 to establish the Texas Semiconductor Innovation Fund (TSIF), a grant program to continue Texas’ leadership in semiconductor research, design, and manufacturing, as well as the Texas Semiconductor Innovation Consortium (TSIC). These programs, administered by the Texas CHIPS Office, a division within the Texas Economic Development & Tourism Office in the Office of the Governor, are designed 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.