The Biden administration has announced a groundbreaking move to boost semiconductor production in the United States by awarding Micron up to $6.1 billion in grants. This investment will help the company build new chip manufacturing plants in New York and Idaho, creating thousands of jobs and strengthening the nation’s supply of vital semiconductors.
Senator Chuck Schumer, who played a key role in passing the CHIPS Act, hailed the grant as a “monumental” investment that will ensure America is no longer dependent on other countries for essential chips. Micron’s plans to construct new manufacturing facilities in New York and Idaho have been in the works for over a year, with the company aiming to expand its presence in the U.S. and contribute to the domestic production of semiconductors.
The funding from the CHIPS Act, totaling more than $29 billion, has already been distributed to several chipmakers, including Samsung, Taiwan Semiconductor Manufacturing Company, and Intel. The initiative aims to re-establish the United States as a leader in semiconductor production, a sector that has largely shifted overseas in recent years.
Micron, known for its production of dynamic random access memories (DRAMs) and flash memory chips, is the last U.S. supplier of DRAMs. The company’s expansion plans align with a growing demand for memory chips in various industries, including data centers and artificial intelligence applications.
Sanjay Mehrotra, Micron’s CEO, has emphasized the importance of government subsidies in expanding the company’s U.S. production footprint. The grants and tax credits provided by the federal government will support Micron’s efforts to increase its manufacturing capabilities and contribute to the nation’s semiconductor industry.
Overall, the grant awarded to Micron represents a significant step towards strengthening America’s semiconductor production and reducing reliance on foreign suppliers. With the support of federal funding, Micron is poised to play a crucial role in meeting the growing demand for semiconductors and driving innovation in the industry.
