By Reuters | Updated: April 18, 2024
April 17 (Reuters) – Memory chip maker Micron Technology (MU.O) is set to get more than $6 billion in grants from the U.S. Commerce Department to help pay for domestic chip factory projects, Bloomberg News reported on Wednesday.
The award, which is not yet finalized, could be announced as soon as next week, the report said, citing people familiar with the matter.
New York Governor Kathy Hochul said in a statement that the largest private investment in American history is on its way to Central New York.
New federal funding from U.S. President Joe Biden’s CHIPS and Science Act will help lock in 50,000 jobs, a $100 billion investment, and millions of dollars in community benefits, Hochul added.
Micron and the U.S. Commerce Department did not immediately respond to Reuters requests for comment.
Over the past few months, Biden has announced several funding initiatives, including nearly $20 billion in loans and grants for Intel (INTC.O) and a $1.5 billion grant to GlobalFoundries (GFS.O).
With an outlay of $52.7 billion, the CHIPS Act’s goal is to reduce reliance on China and Taiwan and boost domestic production, as the U.S. share in global semiconductor manufacturing capacity has fallen from 37% in 1990 to 12% in 2020, according to the Semiconductor Industry Association.
@ Thomson Reuters 2024
