Austin, TX
Will Central Texas semiconductor scene be rewarded with CHIPS Act funding? Experts say yes
It still remains to be seen if Austin-area projects will benefit from legislation designed to boost the semiconductor industry, as the Commerce Department starts announcing as soon as this month which companies will be awarded funding.
Central Texas is among a handful of regions expected to see a boost from the Chips and Science Act, which was passed in 2022. The legislation made $52 billion available for companies that manufacture computer chips, billions more in tax credits to incentivize chip manufacturing, and tens of billions of dollars to fund scientific research and development of other U.S. technologies.
So far, no projects in Texas have been included in the first handful of announcements made by the Commerce Department, but local industry leaders remain optimistic in the Austin-area’s ability to compete with the hundreds of projects waiting to see if they will receive the remaining funding.
Ed Latson, CEO of Opportunity Austin, said he anticipates the funding to make a major impact in Central Texas, which is already home to facilities from companies including Samsung Semiconductor, NXP, Tokyo Electron and Infineon.
“I expect to see grants being issued to local companies soon,” Latson said. “We have one of the most dynamic semiconductor ecosystems in the United States and this will only make us more competitive as a region and as a country.”
Kevin Fincher, CEO of the Austin Regional Manufacturers Association, agreed that the region remains in a strong position.
“I believe that Central Texas will lead in the semi-industry going forward, and we’re well positioned for that,” Fincher said.
The Austin-area’s existing ecosystem of companies in the semiconductor industry includes fabrication facilities that make chips, toolmakers and a supply base that works with the toolmakers and fabrication facilities.
Fincher predicted that Central Texas projects could hear about funding awards as early as March.
“We expect in the in the coming month, March, that there is going to be a slew of announcements that will start to come out,” Fincher said. “I think Commerce is finalizing the applications and we are going to hear some pretty hopefully exciting announcements coming, which will impact some of the companies working here or that have operations here.”
Even before the passage of the CHIPS Act, the Central Texas region has been poised to see big expansions to its manufacturing capacity. Samsung, which already had two fabs in Austin, announced last year that it planned to build a $17 billion chip factory in Taylor. Filings also show the company could put as many as 11 additional fabrication facilities in Central Texas in the coming decades, though the company has said it does not have concrete plans.
Semiconductor giant NXP also has been considering an expansion in Austin. Last year, the Austin City Council approved an incentive deal worth just over a million dollars. Following Raimondo’s speech, the company said it continues to engage with the Commerce Department on its proposals.
“While we cannot indicate a timeline with certainty, we understand the process could take a number of months and we are optimistic that the proposed expansion would meet the program goals,” a company spokesperson said. “We are pleased there continues to be an ongoing dialogue and movement on the need to support the industry.”
Fincher predicted investment will continue, both in company growth and in the workforce needed to support these companies.
Samsung to partner with UT engineering school, donate $3.7M to aid semiconductor workforce
CHIPS Act funding is leading to ‘tough conversations’
During a February 4 event hosted by Cybersecurity and Infrastructure Security Agency, Commerce Secretary Gina Raimondo said there are “tough conversations” as the department works on distributing the funding. During the event, Raimondo also said the department would now be prioritizing projects that will be operational by 2030.
The changes came as leading-edge companies requested about $70 billion in funding, or about double the amount in federal subsidies available. So far, Commerce has announced about $2.5 billion in funding to three companies BAE, Microchip, and Global Foundries
Raimondo said while there’s risk in picking winners and losers, there is “way more risk in doing nothing” and said there will likely need to be another CHIPS Act in the future to continue to boost the industry.
“We’re going to have to say no to excellent companies with excellent proposals,” Raimondo said.
Raimondo acknowledged during the CISA event that companies were also likely frustrated to receive less funding than they were hoping.
While acknowledging that there have been project delays nationally that may be related to the rollout of funding, Matt Bryson, an industry analyst with Wedbush Securities, has already been working as intended.
“We’ve seen arguably a historic amount of chip infrastructure investment planned for the U.S., including from a number of companies that either had never invested in the U.S. or who had chosen not to invest in U.S. fabs in recent years,” he said.
He added, the focus on projects that will be completed by 2030 makes sense.
“If the goal is to accelerate investment, I think it necessarily makes sense to prioritize the bird in hand so to speak, vs. investment plans that are further out and that might not come to fruition,” Bryson said.
Fincher, of ARMA, said Central Texas will likely benefit from the 2030 timeline.
“We are very much in the right spot,” he said. “Most of the companies that we’re looking at will be set up and operational and running by then. So, I think that’s an advantage right now to our manufacturing sector here in Central Texas.”
Austin, TX
Where is Cade Klubnik from? Hometown, high school and more about Clemson QB's Texas roots | Sporting News
When Clemson travels to Austin to play Texas in the College Football Playoff on Saturday afternoon, it will be a bit of a homecoming for the Tigers’ quarterback. Cade Klubnik grew up in Austin, Texas, and he will be returning to play football in the area for the first time since leaving to attend Clemson.
As a member of the ACC, Clemson doesn’t typically travel to Texas for games, so Klubnik may not have expected to play close to where he grew up in college. But not only is he getting a chance to return to his hometown, he does so in the most important game of the season for either team.
While the 21-year-old junior is trying keep his focus on beating Texas, he did mention the excitement in playing in his hometown again.
“Obviously I’ve had quite a few people reach out to me in the last week and a half,” Klubnik said, via On3. “I think like last Sunday, Monday, Tuesday, I just kind of embraced it and just kind of got to sit there and enjoy the feeling of, ‘Hey, I’m getting to go home.’ You know, the guys I’m getting to be playing, the people that are going to be there, and just kind of enjoyed that for one or two days.”
Ahead of Clemson’s showdown against Texas in Austin, here is a breakdown of Klubnik’s history growing up in Austin, Texas.
MORE COLLEGE FOOTBALL NEWS:
Cade Klubnik high school
Before starring at Clemson, Klubnik attended Westlake High School in Austin, Texas, which is just 20 minutes away from the University of Texas’ campus. If that high school sounds familiar, it’s because Westlake High School has many famous alumni athletes that graduated over the years.
Among famous Westlake graduates include Drew Brees, Nick Foles, Justin Tucker and Sam Ehlinger, the latter two players stayed close to home by attending Texas in college.
Additionally, in 2020, Klubnik helped lead Westlake to the state title, and he did so by beating then-Southlake Carroll quarterback Quinn Ewers in the finals. On Saturday, Klubnik and Ewers will meet for the first time since that game in January of 2021.
Cade Klubnik high school stats
Year | Games | Completion Percentage | Passing Yards | Touchdowns | Interceptions |
2019 | 12 | 76.8% | 680 | 8 | 1 |
2020 | 14 | 67.7% | 3,495 | 35 | 3 |
2021 | 13 | 71.1% | 3,215 | 43 | 3 |
Klubnik was a star in high school, which led to him becoming a five-star recruit in the class of 2022. According to 247 Sports, Klubnik was ranked No. 13 in the country, and No. 2 among quarterbacks, when he chose to attend Clemson for college.
Cade Klubnik college stats
Year | Games | Completion Percentage | Passing Yards | Touchdowns | Interceptions |
2022 | 10 | 61% | 697 | 2 | 3 |
2023 | 13 | 63.9% | 2,844 | 19 | 9 |
2024 | 13 | 63.7% | 3,303 | 33 | 5 |
Klubnik took over as Clemson’s starter in 2023, and after an unspectacular first season, he improved his play in his second as a starter this year.
Austin, TX
Austin mother charged with capital murder in death of 6-week-old infant son
AUSTIN, Texas (KWTX) – Jacqueline Mendoza-Ramirez, 21, of Austin, is charged with capital murder in the death of her 6-week-old infant son.
On Nov. 27, Austin police say officers responded to the Dell Children’s Medical Center, located at 4900 Mueller Boulevard, for a dead person call.
The parents of a 6-week-old infant had taken their baby to the hospital as he was not breathing, police say.
Hospital staff attempted life-saving measures on the infant but were unsuccessful, and the infant was pronounced dead at the hospital, according to police.
Additional authorities responded to process the scene, and their initial investigation showed the infant had several trauma injuries on his body, police say.
Police say CPS was notified and the parents of the infant were interviewed.
On Dec. 18, an arrest warrant for capital murder was issued for Mendoza-Ramirez in the death of the infant. She was arrested the same day, according to police.
Anyone with additional information is asked to call Austin police at 512-974-8477.
Copyright 2024 KWTX. All rights reserved.
Austin, TX
Joe Rogan’s Texas house value drops 20% in Austin housing market downturn
What’s New
Joe Rogan’s Texas home has dropped a whopping 20 percent in value as the Austin housing market experiences a rapid downturn.
Rogan originally purchased the home for $14.4 million in 2020, right when Austin was gaining ground as one of the top pandemic era housing markets.
Why It Matters
Many Americans fled to Austin from high-cost areas in New York and California while looking for lower home prices and cost of living. And in the age of remote work and coronavirus shutdowns, many also moved to be in a place with Texas’ minimal social distancing restrictions.
What To Know
Rogan originally moved from California to the Austin property in 2020 after securing a $100 million deal with Spotify.
But now, just four years later, Redfin values the home at just $10.8 million.
Rogan’s home has eight bedrooms and nearly 11,000 square feet. It also boasts a lakeside view, but even the most luxurious estates aren’t immune from Austin’s real estate market changes.
In November, data showed Austin home listings were over 10,000, compared to just 7,000 during the pandemic.
Texas has long been on a population upswing, growing by more than 9 million residents between 2000 and 2022. And the pandemic saw an even larger boost in new people seeking out the state’s job market, warm weather and cheap cost of living.
In 2022 alone, the Lone Star State’s population climbed by 470,708 people, according to the U.S. Census Bureau.
Initially, when so many people moved in the pandemic, house prices skyrocketed upwards, as the market was not able to keep up with the surge in demand.
To fix that, Texas home suppliers quickly ramped up construction, but now the housing market is experiencing the opposite problem—too much supply and too little demand, causing prices to trend down.
Still, Austin’s home prices are up 6.8 percent year over year, according to Redfin. That brought a median sale price of $550,000 in November.
What People Are Saying
Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek:
“Austin was one of the hottest real estate markets in the country before the pandemic, and relocating during that stretch of time only increased demand in a city that had fewer statewide health-related restrictions than its contemporaries did. With the pandemic over and remote work becoming for many jobs a thing of the past, there’s less demand, which is incredibly problematic for a city that had been ramping up in creating more housing units to meet a surging market.”
“Texas housing supply has spiked to [its] highest level since at least 2017,” Nick Gerli, CEO of real estate data platform Reventure App, wrote on X, formerly Twitter. “Active listings are up 25 percent YoY, and a massive 263 percent from the pandemic low. Texas is no longer in an inventory shortage. And is now oversupplied.”
“2020-21 was near the peak of the real estate market in many parts of the country,” title and escrow expert Alan Chang told Newsweek. “During this time, there was so much competition for desirable properties that valuations were increasing at an unsustainable rate. It’s normal for many markets to see some leveling or more substantial corrections after that historic time period.”
“Rising interest rates are the main culprit behind lower housing values,” Kevin Thompson, a finance expert and the founder and CEO of 9i Capital Group, told Newsweek. “Housing prices surged after the pandemic as inflation rose, creating a disconnect between prices and underlying fundamentals. Now, prices are correcting downward, moving back toward equilibrium.”
What’s Next
As Austin sees a surge in new homes becoming available, there will inevitably be less demand in the once thriving housing market.
“It’s a difficult spot to be in, and even homes owned by some of Austin’s wealthiest residents are finding their property down substantially in value from where it was a few short years ago,” Beene said.
Chang said 2025 will likely bring more price correction in the Austin market after the rapid increase seen in the last few years.
“Real estate should be a long-term investment and not a short-term roller coaster that we experienced in the recent past,” Chang said.
-
Politics7 days ago
Canadian premier threatens to cut off energy imports to US if Trump imposes tariff on country
-
Technology1 week ago
Inside the launch — and future — of ChatGPT
-
Technology6 days ago
OpenAI cofounder Ilya Sutskever says the way AI is built is about to change
-
Politics6 days ago
U.S. Supreme Court will decide if oil industry may sue to block California's zero-emissions goal
-
Technology6 days ago
Meta asks the US government to block OpenAI’s switch to a for-profit
-
Politics1 week ago
Conservative group debuts major ad buy in key senators' states as 'soft appeal' for Hegseth, Gabbard, Patel
-
Business5 days ago
Freddie Freeman's World Series walk-off grand slam baseball sells at auction for $1.56 million
-
Technology5 days ago
Meta’s Instagram boss: who posted something matters more in the AI age