Micron applies for federal aid for Clay semiconductor campus

ByEric Reinhardt

Date: 9/1/2023 11:17 PM

CLAY — Micron Technology Inc. (NASDAQ: MU) is formally seeking federal assistance for its effort to build a semiconductor campus in the town of Clay.

The Boise, Idaho–based Micron has submitted its application for U.S. government aid through the CHIPS & Science Act, U.S. Senate Majority Leader Charles Schumer (D–N.Y.) said in an Aug. 21 statement, which did not list a dollar amount for the aid.

In an Aug. 21 Form 8-K filing with the U.S. Securities & Exchange Commission, Micron Technology said that on Aug. 18, two subsidiaries of Micron — Micron New York Semiconductor Manufacturing LLC and Micron Idaho Semiconductor Manufacturing (Triton) LLC — each submitted full applications to the U.S. Department of Commerce’s CHIPS Program Office (CPO) in response to the CPO’s Notice of Funding Opportunity for semiconductor manufacturing under the U.S. CHIPS and Science Act of 2022. Micron Idaho Semiconductor Manufacturing (Triton) LLC submitted a full application for federal funding for the development of a memory manufacturing fab in Boise, Idaho. Micron New York Semiconductor Manufacturing LLC presented the other full application for federal funding “to build a DRAM manufacturing megafab in Clay.” In these applications, Micron said it asked for federal support “in the form of grants, which combined with investment tax credits, are necessary to enable proceeding with both projects.” The company’s filing did not specify how much money the support would cost.

Micron on Oct. 4. 2022 announced plans to invest up to $100 billion over the next 20-plus years on a semiconductor manufacturing campus at the White Pine Commerce Park in Clay.

“With my CHIPS & Science Act as the fuse, Micron chose to make Central NY the home of its unprecedented $100 billion megafab, bringing with it nearly 50,000 good paying jobs to fundamentally transform Central NY’s role in the global tech economy. Now, with Micron having officially submitted for the historic investments I created, the project is one step closer to becoming a reality, one step closer to a better future for our children and our grandchildren, one step closer to shovels hitting the ground,” Schumer said in his Aug. 21 statement.

The CHIPS & Science Act includes $39 billion for the CHIPS for America Fund to provide federal incentives to build, expand, or modernize domestic facilities and equipment for semiconductor fabrication, assembly, testing, advanced packaging, or research and development, per Schumer’s office.

“The CHIPS and Science Act is playing a critical role in driving U.S. innovation and competitiveness – and the economic benefits to our nation are only beginning. This historic legislation paved the way for Micron, the only U.S. manufacturer of memory, to announce our intent to bring industry-leading memory to the U.S. as we invest up to $100 billion over the next 20-plus years to construct a new megafab in Clay, New York — which will be the engine that drives a lasting semiconductor ecosystem here in the United States due to memory’s outsized scale.” Sanjay Mehrotra, president and CEO of Micron Technology, said in Schumer’s Aug. 9 news release, marking the one-year anniversary of U.S. President Joe Biden signing the CHIPS & Science Act.

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