The Fort Worth City Council has unanimously approved tax abatements to entice Taiwanese chip manufacturer Wistron to build two AI supercomputer plants valued at $687 million, potentially creating 888 jobs.
The decision positions Fort Worth in competition with El Paso, Nashville, Tennessee, and Fremont, California, for the facilities.
The 10-year agreement offers up to 80% tax breaks on the incremental value of real investment and business personal property at a 324,598-square-foot site at 15200 Heritage Parkway. This is part of Trammell Crow’s 35 Eagle industrial campus, and 60% of a smaller site at 14601 Mobility Way in Hillwood’s Alliance Westport 14 development.
Wistron would invest $80 million in property improvements and $411 million in equipment at the Heritage Parkway site by 2027, creating 634 jobs, and $32 million in property upgrades. The company would invest $164 million in equipment at the Mobility Way site, and together, the two sites would add 254 jobs by December 2026 with a minimum average annual salary of $63,000.
If both plants are built, the city would gain $10.6 million in net tax revenue over 10 years, while Wistron’s taxes would be reduced by $30.7 million. A similar incentive package is under consideration by Denton County commissioners. Construction could begin this summer if Wistron selects Fort Worth, with mass production expected to commence within 12 to 15 months.
The plants, part of a $500 billion Nvidia initiative to build U.S.-based AI infrastructure, would produce supercomputers in partnership with Nvidia.
“Adding American manufacturing helps us better meet the incredible and growing demand for AI chips and supercomputers, strengthens our supply chain and boosts our resiliency,” said Jensen Huang, Nvidia’s founder and CEO, per the Dallas Business Journal.
Nvidia announced the plan in April, partnering with Wistron, Foxconn, and TSMC to create hundreds to thousands of jobs nationwide, with Foxconn leading a similar effort in Houston.
“Texas is where the future of innovation is building,” Gov. Greg Abbott said in April, praising Nvidia’s investment in Dallas and Houston for paving the way for American-made AI supercomputers.
Wistron also plans to lease a Dallas facility from 2025 to 2030 for after-sales service and intends to invest $500 million in its U.S. subsidiary, Wistron InfoComm.