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Tipsheet

Micron Invests $200 Billion Into American Semiconductor Development

AP Photo/Paul Sakuma, File

Micron has announced their $200 billion investment into semiconductor manufacturing and development, in partnership with the United States Department of Commerce. This partnership between Micron and the federal government is seeking to establish a full spectrum of memory chip production in the United States. 

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"President Trump has made it clear that the time to build in America is now," said U.S. Secretary of Commerce Howard Lutnick. 

Micron is the only manufacturer of advanced memory chips based in the United States. Currently, all DRAM production occurs outside the US, mainly in East Asian countries, according to the Department of Commerce. DRAM (dynamic random access memory) is a type of semiconductor memory typically used in the program code of a computer processor. It is a common type of RAM (random access memory) used in PCs, workstations and servers. 

Micron's $200 billion investment today will be accompanied by up to $275 million in incremental funding directly from the CHIPS Act. The CHIPS Act, or Creating Helpful Incentives to Produce Semiconductors for America, is a federal statute designed to bolster domestic semi-conductor manufacturing and research in America. Signed into law in August 2022, the CHIPS Act allows federal funding to be designated by the U.S. Department of Commerce. 

"Micron’s planned investment will ensure the U.S. advances its lead across critical industries like AI, automotive, and aerospace & defense," said U.S. Secretary of Commerce Howard Lutnick. "And we’re doing it at a scale that secures American technology dominance for decades to come. Micron’s commitment to Idaho, New York, and Virginia is a huge win for our economy, our national security, and American workers." 

Micron will expand its locations in Idaho and New York and construct a second chip fabrication facility in Boise, Idaho. The company also has plans for two new potential fabrication facilities in New York. 

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"Micron's investment in Idaho is a powerful example of what's possible when industry and government work together," said Idaho Congressman Mike Simpson. "This new fab will help ensure that Idaho continues to lead in semiconductor manufacturing and research."

In Manassas, Virginia, Micron will expand and modernize its existing fabrication facility. This update seeks to onshore crucial technology from Taiwan. 

"This facility will greatly improve supply chain resiliency for automotive and industrial markets and the defense industrial base," said the U.S. Department of Commerce in its press release. The department also said these changes will "reinforce the Trump Administration’s commitment to rebuilding American industry, spurring private-sector innovation, and putting America First."

The U.S. Department of Commerce predicts these developments in Idaho, New York, and Virginia will create over 90,000 American jobs. 


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