Texas Governor Announces $4.1M Grant to Arm Inc. for Austin Expansion

The expansion is expected to create over 320 new jobs and represents a $71 million capital investment.

Published on Feb. 13, 2026

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Governor Greg Abbott announced that the Texas Semiconductor Innovation Fund (TSIF) is providing a $4,162,550 grant to Arm Inc. to expand their Austin campus. The expansion will include a new semiconductor lab with failure analysis capabilities and is expected to create more than 320 jobs.

Why it matters

This investment from the state of Texas helps strengthen the state's position as a global leader in semiconductor design and manufacturing. It also highlights Texas' efforts to attract and retain tech companies through initiatives like the Texas CHIPS Act and the Texas Semiconductor Innovation Consortium.

The details

The expansion project at Arm's Austin campus will include a new semiconductor lab with failure analysis capabilities. Arm, a U.K.-based global technology company, specializes in designing low-power, high-performance processor architectures for mobile, cloud, and data center applications. The $71 million investment is expected to create more than 320 new jobs.

  • Governor Abbott announced the grant on February 13, 2026.

The players

Greg Abbott

The Governor of Texas who announced the grant to Arm Inc.

Arm Inc.

A U.K.-based global technology company that specializes in designing low-power, high-performance processor architectures.

Rene Haas

The CEO of Arm Inc.

Sarah Eckhardt

A Texas state senator who commented on Arm's investment in Texas.

Donna Howard

A Texas state representative who commented on the grant and its impact on Austin and Texas.

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What they’re saying

“Texas is where the world innovates. 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.”

— Greg Abbott, Governor of Texas (thestkittsnevisobserver.com)

“Austin is home to Arm's largest U.S. site and is a rapidly growing center for advanced chip design. This investment from the Governor's Office accelerates that momentum and strengthens Texas' position as a global semiconductor leader.”

— Rene Haas, CEO, Arm Inc. (thestkittsnevisobserver.com)

“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.”

— Sarah Eckhardt, Texas State Senator (thestkittsnevisobserver.com)

“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.”

— Donna Howard, Texas State Representative (thestkittsnevisobserver.com)

What’s next

The Texas CHIPS Office, a division within the Texas Economic Development & Tourism Office in the Office of the Governor, will administer the grant and oversee the expansion project.

The takeaway

Texas is continuing to invest in and attract semiconductor companies through initiatives like the Texas CHIPS Act and the Texas Semiconductor Innovation Consortium, solidifying the state's position as a global leader in semiconductor design and manufacturing.