Semiconductor company Micron is pledging up to $100 billion to build a chip factory near Syracuse, New York, the company announced in a press release on Tuesday. Micron says it's the “largest semiconductor fabrication facility in the history of the United States.”
The move comes as Micron looks to take advantage of the funding from the Biden administration’s $280 billion CHIPS and Science Act, which was passed in August. As part of the legislation, President Joe Biden is allocating $52 billion in funds to encourage chip companies to build fabrication sites in the US and recently signed an executive order to get the money to companies faster.
According to reports from The New York Times and Syracuse, Micron’s new hub will consist of four separate fabs located on a 1,300-acre site in Clay, New York, just north of Syracuse. The plant will create about 9,000 jobs over the next two decades and more, and will also bring 40,000 construction and supply chain jobs to the area. To start, Micron will need about 3,000 workers to kick off its $20 billion “mega-fab.” Micron plans on beginning construction in 2024, with production volume starting after 2025.
Micron also announced plans to build a $15 billion Idaho semiconductor plant last month and said it would invest $40 billion to establish memory plants in the US by 2030. “There is no doubt that without the CHIPS act, we would not be here today,” Sanjay Mehrotra, the CEO of Micron, said in a statement.
In addition to Micron, Intel is also benefiting from the Biden administration’s legislation and has broken ground on its $20 billion chip plant in Ohio. The company also invested another $20 billion in a manufacturing hub in Arizona.
Correction October 4th, 1:55PM ET: A previous version of the article stated that Micron would invest $40 billion to establish memory plants in the US by 2023, when it is investing $40 billion by 2030. Production volume in the new chip plant is also expected to start after 2025, not in 2025. We regret the error.