Home News $200 billion! US chip manufacturing upgrades again

$200 billion! US chip manufacturing upgrades again

2025-06-27

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The US-based chipmaker will invest $150 billion in domestic memory manufacturing and $50 billion in research and development.

Micron Technology has announced plans to increase its semiconductor investment in the United States by $30 billion, amid President Donald Trump's push to expand domestic manufacturing. The move brings Micron's total investment in the United States to nearly $200 billion. The US-based chipmaker will invest $150 billion in domestic memory manufacturing and $50 billion in research and development. The plan is expected to create about 90,000 jobs.

The additional $30 billion will be used to build a second memory manufacturing plant in Boise, Idaho; and to expand and modernize its existing plant in Manassas, Virginia. Overall, Micron's expansion strategy includes building two high-volume wafer fabs in Idaho and up to four wafer fabs in New York State. The plan also includes bringing advanced packaging capabilities to the United States to support the growth of high-bandwidth memory (HBM), which is critical to the artificial intelligence field. This complements Micron's current plans to build a large wafer fab in New York.

The investment is in line with Micron's goal of achieving 40% of dynamic random access memory (DRAM) domestic production in the United States. These DRAM chips are widely used in a variety of fields, including personal computing, automobiles, industrial operations, wireless communications, and artificial intelligence.

Micron to start DRAM production at Idaho plant in 2027

Micron also announced that its first wafer fab in Idaho has achieved key construction milestones and is expected to begin producing DRAM chips in 2027. The second wafer fab in Idaho will further increase DRAM production to meet growing market demand. Site preparation for the New York Super Fab is expected to begin later this year, pending environmental approvals from New York State and the federal government. The second wafer fab in Idaho is expected to be operational before the New York State facility.

With the completion of the second wafer fab in Idaho, Micron plans to introduce advanced HBM packaging capabilities domestically.

"Micron's U.S. memory manufacturing and R&D initiatives underscore our commitment to driving innovation and strengthening the domestic semiconductor industry," said Sanjay Mehrotra, Micron's chairman, president and CEO. "This approximately $200 billion investment will solidify America's technological leadership, create tens of thousands of American jobs across the semiconductor ecosystem, and ensure a domestic supply of semiconductors - critical to economic and national security."

"Micron's U.S. memory manufacturing and R&D initiatives underscore our commitment to driving innovation and strengthening the domestic semiconductor industry. This approximately $200 billion investment will solidify America's technological leadership, create tens of thousands of American jobs across the semiconductor ecosystem, and ensure a domestic supply of semiconductors - critical to economic and national security," added Sanjay Mehrotra. "We thank President Trump, Secretary Lutnick, and our federal, state and local partners for their support, who have played an important role in advancing domestic semiconductor manufacturing."

U.S. Commerce Secretary Howard Lutnick said Micron's planned investments will return memory chip production to the United States and ensure U.S. leadership in artificial intelligence, aerospace and defense, automotive and other key industries.

The company expects the investment to qualify for the Advanced Manufacturing Investment Credit (AMIC). Micron has received $275 million in direct CHIPS Act grants to support the expansion of its Manassas facility. The company expects to receive up to $6.4 billion in direct CHIPS Act grants to support the construction of these facilities.

In April, Micron Technology announced a strategic realignment of its business units to align with AI-driven growth opportunities. The company will begin reporting financial results under the new structure in the fourth quarter of fiscal 2025.

In addition, Micron has committed to investing $325 million to build the next generation workforce and support the U.S. semiconductor industry. The investment includes support for semiconductor curriculum development, university partnerships, community college apprenticeship partnerships, and other projects aimed at expanding employment opportunities in the semiconductor industry.


Reference link

https://www.techmonitor.ai/hardware/silicon/micron-us-semiconductor-investment-200bn?cf-view

https://www.govconwire.com/2025/06/micron-semiconductor-manufacturing-investment/



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