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Nvidia and Coherent Expand Texas Factory for AI Chip Links

The $2 billion project is expected to create 1,000 jobs and cut power use by up to 50%, executives said.

  • On Tuesday, Nvidia CEO Jensen Huang unveiled a $2 billion partnership with Coherent to expand a Sherman, Texas facility, increasing production of Indium Phosphide lasers for chip-to-chip data transmission.
  • Nvidia is transitioning from selling individual chips to providing entire AI systems, clustering chipmaking in Arizona and assembly in Texas to secure a reliable domestic supply chain.
  • Coherent estimates the expansion will create 1,000 jobs, including about 550 technical roles, while new laser technology enables chips to work as a single system, cutting power consumption by up to 50%.
  • Bipartisan government support anchored the project, with $33 million from the CHIPS and Science Act and a $17 million grant from the Trump administration, Coherent CEO Jim Anderson said.
  • Trump recently praised Huang as a "friend" and "amazing," marking a shift from earlier threats to break up Nvidia, underscoring the administration's reliance on the AI boom to drive manufacturing growth.
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Washington Top NewsWashington Top News
+12 Reposted by 12 other sources
Center

Nvidia’s Huang pledges AI will boost manufacturing jobs. A test will come in Texas

SHERMAN, Texas (AP) — Jensen Huang’s company Nvidia makes the computer chips that unleashed a revolution in artificial intelligence. Now he'

·Washington, United States
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Associated Press NewsAssociated Press News
+36 Reposted by 36 other sources
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Nvidia's Huang pledges AI will boost manufacturing jobs. A test will come in Texas

Nvidia is betting on artificial intelligence to revive U.S. manufacturing. The Silicon Valley company on Tuesday is unveiling a major AI infrastructure upgrade as part of a $2 billion partnership with Coherent.

·New York, United States
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abc News broke the news in United States on Tuesday, June 16, 2026.
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