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The US-based chipmaker will spend $150bn in domestic memory manufacturing and $50bn in R&D.
Micron has allocated $150 billion to domestic memory manufacturing and $50 billion to R&D. (Photo: T. Schneider/ Shutterstock)
Micron Technology has announced plans to increase its semiconductor investment in the US by $30bn, amid US President Donald Trump’s push for increased domestic manufacturing. The move brings Micron’s total commitment in the country to nearly $200bn. The US-based chipmaker will allocate $150bn to domestic memory manufacturing and $50bn to research and development (R&D). The initiative is projected to create approximately 90,000 jobs.
The additional $30bn will fund the construction of a second memory fabrication facility in Boise, Idaho; and the expansion and modernisation of its existing plant in Manassas, Virginia. Overall, Micron’s expansion strategy encompasses two high-volume fabs in Idaho and up to four in New York. The plan also includes bringing advanced packaging capabilities to the US, supporting growth in High Bandwidth Memory (HBM), vital for the AI sector. This complements Micron’s existing plans for a megafab in New York.
The investment is aligned with Micron’s goal of producing 40% of its Dynamic Random Access Memory (DRAM) domestically. These DRAM chips are used across various sectors, including personal computing, automotive, industrial operations, wireless communications, and AI.
Micron to begin DRAM production at Idaho facility in 2027
Micron also announced that it has reached key construction milestones on its first Idaho fab, with DRAM production anticipated to start in 2027. The second Idaho fab will further boost DRAM output to address increasing market needs. Ground preparation for the New York megafab is expected to begin later this year, pending state and federal environmental approvals. The second Idaho fab is projected to be operational before the New York facility.
Following the completion of the second Idaho fab, Micron plans to introduce advanced HBM packaging capabilities domestically.
“Micron’s US memory manufacturing and R&D plans underscore our commitment to driving innovation and strengthening the domestic semiconductor industry,” said Micron chairman, president and CEO Sanjay Mehrotra. “This approximately $200bn investment will reinforce America’s technological leadership, create tens of thousands of American jobs across the semiconductor ecosystem and secure a domestic supply of semiconductors—critical to economic and national security.”
The company expects that the investment will qualify for the Advanced Manufacturing Investment Credit (AMIC). Micron has already secured a $275m CHIPS Act direct funding award to support the expansion of its facility in Manassas. It expects to secure up to $6.4bn in CHIPS Act direct funding to support the construction of the facilities.
In April, Micron announced a strategic reorganisation of its business units to align with AI-driven growth opportunities. It will start reporting its financial results under this new structure in the fourth quarter of the fiscal year 2025.
