The Department of Commerce has proposed to provide Micron Technology with approximately $6.14 billion in funding through the CHIPS and Science Act to help the company expand its dynamic random-access memory — or DRAM — chip production in New York and Idaho.
The department said Thursday the proposed funding under a nonbinding preliminary memorandum of terms signed with Micron would support the construction of two DRAM fabs in New York and another facility in Idaho.
The plan would support Micron’s plans to onshore about 40 percent of its DRAM chip production in the next 20 years.
“With this proposed investment, we are working to deliver on one of the core objectives of President Biden’s CHIPS program – onshoring the development and production of the most advanced memory semiconductor technology which is crucial for safeguarding our leadership on artificial intelligence and protecting our economic and national security,” said Commerce Secretary Gina Raimondo.
“With these proposed investments, coupled with Micron’s historic private investment of up to $125 billion in New York and Idaho over the next 20 years, President Biden is working to revitalize U.S. technological leadership and creating tens of thousands of good-paying jobs,” added Raimondo.
Over the next six years, Micron plans to spend $50 billion on the construction of the first three fabs in the U.S.
In the next two decades, the company’s fab construction projects are expected to generate over 13,500 construction and facility jobs in New York and about 6,500 construction and manufacturing jobs in Idaho.
The projects in the two states will operate under project labor agreements, which focus on workforce training.
