Micron Technology (MU) Announces Landmark Investment of Up to $100 Billion to Build Megafab in Midtown New York

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Micron Technology, Inc. (NASDAQ: MU), one of the world’s largest semiconductor companies and the only U.S.-based memory manufacturer, today announced plans to build the world’s largest semiconductor manufacturing in United States history. The new megafab will increase the national supply of state-of-the-art memory and create nearly 50,000 jobs in New York, including approximately 9,000 high-paying Micron jobs.

Micron intends to invest up to $100 billion over the next 20+ years to build a new megafab in Clay, New York, with the first phase of $20 billion investment expected by this time. the end of this decade. It is the largest private investment in New York State history. Micron’s investment in Onondaga County, New York will complement the company’s previously announced high-volume manufacturing facility in Boise, Idaho. Micron will design, build and operate the facility in accordance with its sustainability goals. The site could eventually include four 600,000 square foot cleanrooms, for a total of 2.4 million square feet of cleanroom space – the size of approximately 40 American football fields.

Micron’s megafab in New York is part of its strategy to gradually increase production of state-of-the-art US-made DRAMs to 40% of the company’s global output over the next decade. Site preparation work will begin in 2023, construction will begin in 2024, and production will ramp up in the second half of the decade, gradually increasing in line with industry demand trends. Locating Micron’s state-of-the-art DRAM production in the United States brings tremendous benefits to its customers, enabling them to create their innovative products and solutions using a more resilient, secure and secure supply chain. geographically diverse.

“I am grateful to President Biden and his administration for making CHIPS and science a priority, to Senator Schumer and a bipartisan coalition in Congress for passing the legislation, and to Governor Hochul and the McMahon County Executive for local and state partnerships that made this investment possible. Micron will leverage New York’s diverse, highly skilled and skilled talent as we seek to strengthen our workforce in the Empire State,” said Micron Chairman and Chief Executive Officer Sanjay Mehrotra. “This historic, state-of-the-art memory megafab in central New York will bring benefits beyond the semiconductor industry by strengthening American technological leadership as well as economic and national security, driving American innovation and competitiveness. for decades to come.”

The $5.5 billion in New York State incentives over the life of the project, along with planned federal grants and tax credits from CHIPS and the Science Act are critical to supporting the hiring and capital investment. Additionally, the City of Clay and Onondaga County are providing key infrastructure support for Micron’s new state-of-the-art semiconductor facility.

Downtown New York is the perfect home for America’s new cutting-edge semiconductor megafab

Micron is excited to build this new megafab in New York, making the Empire State the location of the largest state-of-the-art memory site in the United States. Micron selected the site in Onondaga County, New York, because of its multiple advantages, including top-tier institutions of higher education, talent traditionally underrepresented in technology jobs, and a large military-aligned population. Micron’s commitment to hiring veterans. It also provides the availability of clean, reliable water and electricity to enable a project of this scale while meeting our long-term environmental goals. The area has much to offer future Micron employees and families, including urban and outdoor lifestyles, affordable living costs, and a strong local school system. New York offers partnership opportunities with local K-12 education programs, community colleges, and institutions for top engineering and technical talent. The state has a long history of semiconductor development and manufacturing, offering promising opportunities to collaborate on R&D initiatives with organizations such as the Albany NanoTech Complex and the US Air Force Research Laboratory.

Senate Majority Leader Charles Schumer said: “After years of work, it’s official: Micron is coming to downtown New York! With the CHIPS and Science bill I wrote and championed as the fuse, Micron’s $100 billion investment in upstate New York will fundamentally transform the region into a global hub for manufacturing and will bring tens of thousands of well-paying high-tech and construction jobs to Central New York. This project is a dramatic turning point for a region that has faced decades of lost manufacturing jobs and, in combination with the already robust microchip industry in New York, the Hudson Valley, Albany and the Mohawk Valley to Binghamton, Rochester and Buffalo, it will put upstate New York on the map in a way we haven’t seen in generations. This is our Erie Canal moment. Just as the original Erie Canal did centuries ago, this 21st Century Erie Canal will run through the heart of downtown New York and redefine Upstate New York’s place in the global economy for generations to come. Micron’s investment will make New York’s Semiconductor Corridor a major driver of our economy and provide “Made in New York” microchips to everything from electric vehicles, 5G and defense technology to personal computers and smartphones. Today’s announcement is the result of my long fight to bring manufacturing back to upstate New York. Ultimately, without the CHIPS and Science legislation, Micron would have decided to build its mega-factory overseas. This investment leaves no doubt that the future of microchip manufacturing will remain not just in this country, but in Syracuse specifically, and that our future will be built in upstate New York, with central New York as the world center of the chip industry.

Historic investment in community and workforce development

Micron and New York State are also announcing a historic investment of $500 million in community and workforce development with a focus on disadvantaged populations over the life of the project. Micron will invest $250 million over the next 20+ years as part of the company’s commitment to the Green CHIPS Community Investment Fund. An additional $250 million is expected to be invested, including $100 million from New York and $150 million from local, other state and national partners.

Aimed at increasing and preparing the workforce in the region and providing additional support to disadvantaged community populations, the fund will be used for workforce training, education programs, housing and other community investments. Micron will work with the state and other partners to form a local community advisory committee to provide contributions to future incremental Fund investments.

Governor Hochul said, Micron’s $100 billion investment in New York marks the beginning of something transformative in scale and possibility for our state’s economic future. I promised that we would revive the economy by being the most business- and worker-friendly state in the nation, and through our nationwide green chip legislation, federal chip and science act, and partnerships with businesses, unions and local and federal leaders, this project will do just that. Together, we’re leveraging this investment — the largest private sector investment in state history — to secure our economic future, solidify New York’s position as a global manufacturing hub, and bring the state in another industrial revolution.

Reflecting the breadth of the business DEI Commitments, Micron’s New York plans include initiatives to address economic disparities and accelerate economic opportunity for underserved communities in the semiconductor industry. Micron aims to hire a diverse workforce for direct roles as well as broader jobs in the construction ecosystem.

Onondaga County Executive McMahon said, Today’s announcement confirms what we’ve known all along: White Pine Business Park is the first site in the nation to attract industry investment. semiconductors, and we are delighted to welcome Micron to our community. This is the Erie Canal moment of our generation, and my administration is committed to honoring this crucial and exciting moment in time. We will ensure that every neighborhood in every corner of the county feels part of this historic and transformational project. McMahon continued, “Equally important, this is a project that many people felt we weren’t worthy of, but in the end, the world’s largest memory technology company chose the county of Onondaga. Micron is going to invest a hundred billion dollars not only to solve the problems of global demand, but also to meet the national security requirements of this country. Micron’s decision to invest in Central New York and address these issues not only supports our overall strategy for building our community, but also validates our undeniable progress. I look forward to a long and fruitful partnership.

Sustainability Initiatives for New York Leading-Edge Megafab

Micron will design and operate its new megafab in accordance with sustainability framework and commitments. Micron aims to use 100% renewable electricity in the new facility. Additionally, Micron plans to use green infrastructure and sustainable building attributes for the construction of the New York plant to achieve Leadership in Energy and Environmental Design (LEED) Gold status. Greenhouse gas (GHG) emissions from the new facility will be mitigated and controlled through the use of advanced technology. These efforts support Micron’s global goal of achieving a 42% reduction in GHG emissions from operations by 2030 and net zero emissions by 2050.

Micron was recently named one of The world’s most ethical companies 2022awarded with an Ecovadis Sustainability Platinum medal (top 1%) and named one of the Newsweek’s Most Responsible American Companies.

For more information, see the New York fact sheet at Micron.com/NY.

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