The Department of Commerce said today it will award Micron Technology another $275 million of CHIPS and Science Act funding as part of the company’s announcement that it plans to invest $200 billion in semiconductor manufacturing and R&D to expand U.S.-based memory chip production.
In a company press release, Boise, Idaho-based Micron said approximately $150 billion of its planned investments will go toward domestic memory manufacturing and $50 billion will go toward domestic R&D investment.
“In partnership with the Department of Commerce, Micron is announcing a $200 billion semiconductor manufacturing and R&D investment to bring the full spectrum of memory chip production back to the United States,” Secretary of Commerce Howard Lutnick said in a statement. “Micron’s planned investment will ensure the U.S. advances its lead across critical industries like AI, automotive, and aerospace & defense.”
“Micron’s commitment to Idaho, New York, and Virginia is a huge win for our economy, our national security, and American workers,” Lutnick added.
The announcement comes after the Commerce Department awarded Micron up to $6.165 billion in CHIPS Act direct funding in December 2024 to build three fabrication facilities (fabs) in Idaho and New York.
Today’s expanded investment will allow Micron to build a second fab in Boise, Idaho; expand its existing facilities in Manassas, Va.; and bring advanced High Bandwidth Memory (HBM) capabilities to the United States – a technology that is crucial to supporting AI.
Additionally, the Commerce Department said the investment will include up to two additional fabs in New York.
Micron is the only U.S.-based manufacturer of advanced memory chips and its dynamic random access memory (DRAM) technology powers everything from AI and high-performance computing to next-generation wireless devices.
“Micron’s U.S. memory manufacturing and R&D plans underscore our commitment to driving innovation and strengthening the domestic semiconductor industry,” said Micron Chairman, President, and CEO Sanjay Mehrotra. “This approximately $200 billion investment will reinforce America’s technological leadership, create tens of thousands of American jobs across the semiconductor ecosystem, and secure a domestic supply of semiconductors – critical to economic and national security.”
“We are grateful for the support from President Trump, Secretary Lutnick, and our federal, state, and local partners who have been instrumental in advancing domestic semiconductor manufacturing,” Mehrotra added.
Congress approved the CHIPS and Science Act in 2022, making up to $52 billion of funding available to incentivize semiconductor makers to establish new manufacturing operations in the United States.
President Trump issued an executive order in March that wraps the Commerce Department’s CHIPS Program Office into a newly created United States Investment Accelerator, aiming to smooth the way for foreign and domestic business investments exceeding $1 billion.