Texas Devices, or TI, says it can shut two services within the Dallas space.
Most individuals know Texas Devices for its calculators. However the North Texas-based firm additionally makes semiconductors – in any other case generally known as laptop chips – and has accomplished so for 50 years.
Melissa Repko is a reporter for The Dallas Morning Information. She says the closure of vegetation in Dallas and Sherman displays a shift in the way in which the corporate makes chips, moderately than a discount in demand for the merchandise. Texas Devices additionally not too long ago introduced it beat earnings expectations throughout final quarter.
“They’re principally altering the scale of the ‘wafers’ they produce,” Repko says.
The vegetation TI is closing are the one remaining producers of 150-millimeter wafers. Wafers are reduce aside to create particular person laptop chips. The corporate has moved to producing 300-millimeter wafers which are more cost effective as a result of every wafer could be reduce into extra particular person chips.
The North Texas vegetation every make use of round 500 individuals, and TI says it hopes to switch most of that workforce to different services, as the 2 factories shut down steadily over the subsequent few years.
The corporate is constructing a brand new manufacturing facility in Richardson, which can make the bigger silicon wafers it wants. Repko says Wall Road is optimistic about TI’s future.
“They typically appear to suppose that this shift to bigger wafers is sensible, and is a extra environment friendly technique,” Repko says.
Written by Shelly Brisbin.