Advertisement

Drudge Retort: The Other Side of the News
Tuesday, November 23, 2021

Samsung has reportedly selected Taylor, Texas, as the site of a planned multi-billion dollar chipmaking facility, with the plant expected to serve the company's contract manufacturing operations.

More

Comments

Admin's note: Participants in this discussion must follow the site's moderation policy. Profanity will be filtered. Abusive conduct is not allowed.

Near Amazon & Tesla sites, good choice.

#1 | Posted by sitzkrieg at 2021-11-23 09:15 AM | Reply

I wonder what sort of tax breaks will be afforded and to what tune the taxpayer will be left holding.

#2 | Posted by SunTzuMeow at 2021-11-23 09:24 AM | Reply | Newsworthy 1

This is the post where the MAGAts can heap praise on Biden for bringing manufacturer back to America and creating jobs like they did with Trump when the Wisconsin FoxConjob was announced. The difference here is that Samsung is actually likely to fulfil their commitment.

#3 | Posted by johnny_hotsauce at 2021-11-23 09:26 AM | Reply | Newsworthy 2

2

"Taylor is reportedly offering hefty tax incentives to sway Samsung's decision, including breaks in property taxes that come out to some 92.5% for the first 10 years. Those write-offs would gradually decline over the following decades, the report said."

Waiving most of the would be property taxes is a typical method locales lure employers like this.

#4 | Posted by eberly at 2021-11-23 09:35 AM | Reply | Newsworthy 1

This is the post where the MAGAts can heap praise on Biden for bringing manufacturer back to America and creating jobs like they did with Trump when the Wisconsin FoxConjob was announced. The difference here is that Samsung is actually likely to fulfil their commitment.

#3 | POSTED BY JOHNNY_HOTSAUCE AT 2021-11-23 09:26 AM | FLAG:

Well, I mean, we're giving them $25 billion in subsidies so if it doesn't happen...

#5 | Posted by sitzkrieg at 2021-11-23 09:42 AM | Reply

Meanwhile, less than 30 days ago...

"The world's largest semiconductor manufacturers"Intel, Samsung, and the Taiwan Semiconductor Manufacturing Company (TSMC)"have all announced plans to build new chip factories in the US. Everyone is bragging about those plans: American lawmakers say bringing chip manufacturing back onto US soil will strengthen national security, while the chip makers, chastened by this year's disastrous semiconductor shortage, are diversifying their supply chains to avoid future crises.

But there's one problem: Who will pay?

Intel, Samsung, and TSMC have all threatened to pull the plug on their US factory plans unless government subsidies are on the table. Company executives claim that if they don't get a rich package of incentives and tax breaks, they'll build their semiconductor factories elsewhere, effectively ending American ambitions to return chip manufacturing to its shores after ceding the bulk of the market to Taiwan in the 1990s."

#6 | Posted by sitzkrieg at 2021-11-23 09:44 AM | Reply

Don't let the door hit them in the ass. Why should taxpayers subsidize multibillion dollar corporations? Build our own American plants.

#7 | Posted by Effeteposer at 2021-11-23 09:57 AM | Reply

The Foxconn thing was too much subsidy for a company.

There needs to be a win/win for both the local tax payers and the company.

Deals like this happen every day in this country...just not on a large scale.

These deals are typically structured to be favorable for both sides.

Deals that are NOT structured that way are the ones that make the news.

#8 | Posted by eberly at 2021-11-23 10:08 AM | Reply

The Foxconn thing was too much subsidy for a company.
There needs to be a win/win for both the local tax payers and the company.

#8 | POSTED BY EBERLY

Where is the win/win here for taxes?
Texas residents don't pay state income taxes. The company won't pay property taxes. But the state will certainly still pay for services for the factory.

The state is basically buying these jobs and calling it a win.

#9 | Posted by Sycophant at 2021-11-23 10:13 AM | Reply

9

Typically a county or city will lure an employer with an already existing industrial park with utilities, roads, rail, etc...whatever they need.

But the company has to incur all the costs of construction. Then they hire all the workers.

The county or whatever public entity is in control will then waive most of the property taxes on the new buildings.

The idea is that the public entity will enjoy greatly increased local taxes from property, sales, etc from all the new employees in addition to the new residents boost or support local real estate values which drives up overall property tax revenue, etc.....the snowball effects can be quite favorable.

So......a win/sin.

Your local chamber of commerce or city has an economic development department with a budget to make these deals all the time. It's very common.

#10 | Posted by eberly at 2021-11-23 10:23 AM | Reply

Texas residents don't pay state income taxes. The company won't pay property taxes. But the state will certainly still pay for services for the factory.
The state is basically buying these jobs and calling it a win.

#9 | POSTED BY SYCOPHANT AT 2021-11-23 10:13 AM | FLAG:

Welcome to how the Suburbs are structured. The residents pay property taxes. The city and Fed are basically buying these jobs, which chipmaking being a critical National Security issue. It's a win for the area overall.

#11 | Posted by sitzkrieg at 2021-11-23 10:31 AM | Reply

Near Austin, with its tech grads and progressive politics. No way this plant would be placed any closer to Tyler, Waco or San Marcos.

I recently toured the site of the TSMC site outside Phoenix. It will be big and a half, and the local electric provider says they can power the place. With China eyeing Taiwan for their tech manufacturing, this plant will probably revert to US DoD ownership if the People's Army wades ashore on Formosa. Red China wants Taiwan for its economic engine, nothing more and nothing less ...

#12 | Posted by catdog at 2021-11-23 02:49 PM | Reply

...the local electric provider says they can power the place.
#12 | POSTED BY CATDOG

Before I'd accept the word of anyone in TX regarding uninterrupted power supply, I think I'd demand a few hostages first.

#13 | Posted by El_Buscador at 2021-11-23 03:36 PM | Reply | Newsworthy 2

#13

He was talking about the plant in Phoenix that's already under construction.

There are plenty of high voltage lines originating from Palo Verde nuclear generating station nearby. Right by the plant are two huge solar farms and three natural gas plants.

#14 | Posted by willowby at 2021-11-23 08:59 PM | Reply

This is great. Question is: Will the labor force in the US be able to staff this semiconductor plant?

#15 | Posted by GOnoles92 at 2021-11-23 10:53 PM | Reply

$17 Billion Chipmaking Factory
"will create about 1,800 jobs when chip production begins in 2024"

That's like ten million dollars per job.

#16 | Posted by snoofy at 2021-11-23 11:15 PM | Reply

Let Tex@$$ go on about seceding now they got them a fat Asian contract.

Just like the drug crisis, Asia is using capitalism as a weapon against us. Winning without firing a shot.

In Tex@$$ no less.

Resistance is futile.

#17 | Posted by RightisTrite at 2021-11-24 10:24 AM | Reply

That's nice. We need more chips!

Enjoy your unregulated pollution Texas.

I'll be in the Trinity Alps where the water is so clear and fresh you can drink it and not get brain damaged.

And hurry up with those chips!!

I am still waiting for my all electric Ford F-150 Lightning!

#18 | Posted by donnerboy at 2021-11-24 10:54 AM | Reply

It's not all electric if you have to utilize charging stations powered by fossil fuels.

#19 | Posted by LauraMohr at 2021-11-24 10:58 AM | Reply

It'd be nice if policymakers could settle on a standardized manner of calculating total public dollars spent per dollar of worker salary generated. But too often, the true public cost of subsidizing these massive projects is intentionally obscured by those pushing it through.

For example, those claiming Foxconn was a responsible public outlay frequently touted the contractual provision that required a particular number of jobs to be created for subsidies to even be available. What this ignored was the hundreds of millions (by some estimates beyond a billion) in taxpayer funds spent on roads and utilities to accommodate the project, land purchases at above market rates, eminent domain, legal and consulting fees, etc. All for a project that remains to this day a virtually uninhabited wasteland. Wisconsin citizens will feel the effects of this failure for decades. What else could the state have done with a billion dollars?

#20 | Posted by JOE at 2021-11-24 11:20 AM | Reply

@#1 ... Near Amazon & Tesla sites, good choice. ...

It is also near another Samsung semiconductor site in Texas, which may be a part of why Samsung chose this location.


#21 | Posted by LampLighter at 2021-11-24 11:28 AM | Reply

#14 | POSTED BY WILLOWBY

Thanks, I eagerly grabbed the quote before completely reading the post. However, my comment regarding the TX power grid stands.

Regarding power, has there been a discussion on nuclear recently? I won't pretend to have a great deal of knowledge in the area of nuclear power, but are new nuke plants being explored as part of energy policy?

#22 | Posted by El_Buscador at 2021-11-24 04:17 PM | Reply

Near Amazon & Tesla sites, good choice.

#1 | Posted by sitzkrieg

Yeah another corporation condoning texas' descent into theoracy and fascism.

#23 | Posted by SpeakSoftly at 2021-11-25 12:14 AM | Reply

Mistake going to such a -------- state.

#24 | Posted by a_monson at 2021-11-25 02:23 AM | Reply

Cheap labor. Low taxes. Zero regulations?

Sounds like a corporate dream.

#25 | Posted by ClownShack at 2021-11-25 03:40 AM | Reply

Comments are closed for this entry.

Home | Breaking News | Comments | User Blogs | Stats | Back Page | RSS Feed | RSS Spec | DMCA Compliance | Privacy | Copyright 2021 World Readable

Drudge Retort