Micron Eyes Massive Chip Expansion With Federal Funding Boost

Micron Technology Inc MU announced its intentions to advance memory chip production in Boise, Idaho, and Clay, New York. The technology giant believes that federal funding and tax credits will be instrumental in making these plans a reality.

Micron's recent applications to the U.S. Department of Commerce seek funds under the CHIPS Act, designed to fortify and diversify supply chains, minimizing dependence on China, Reuters reports.

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President Joe Biden endorsed a crucial bill last August, allocating $52.7 billion for domestic semiconductor production and pioneering research. The move is part of an ongoing effort to bolster the U.S. tech industry against global competitors.

In the latter part of 2022, Micron unveiled its ambition to channel approximately $15 billion into its Idaho facility by 2032. 

This considerable investment will likely generate 17,000 employment opportunities by the end of this decade. 

Furthermore, plans surfaced about an additional investment strategy for New York. Micron aims to pour up to $100 billion over the next two decades, establishing what they believe will be the world's premier semiconductor fabrication establishment in upstate New York.

As the tech industry evolves, Micron's strategies and initiatives underscore the importance of innovation and diversification, backed by supportive federal policies and funding. 

This synergy aims to ensure the U.S. remains a dominant player in the semiconductor arena.

In May, the Cybersecurity Administration of China (CAC) concluded it sees MU as a cybersecurity threat, following its investigation from March 31, banning Chinese operators of crucial infrastructure from purchasing from the company. 

Price Action: MU shares traded lower by 0.11% at $63.53 on the last check Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.