The Biden administration has agreed to provide $6.1 billion in government support to Micron Technology. The funds will be used to produce advanced computer memory chips in New York and Idaho.
Senate Majority Leader Chuck Schumer (D-NY) personally pursued US-based Micron to build what will ultimately be a set of four chip factories near Syracuse in the town of Clay. “It will be the biggest memory chip plant in America,” Schumer said.
In addition to the government support, Micron is expecting to invest $100 billion of its own over the next two decades in the upstate New York endeavor. This investment is set to create 9,000 factory jobs and 40,000 construction jobs.
The Biden administration has also restricted the flow of chips into China, which has emerged as a leader in semiconductor chip manufacturing. The administration has vowed for 20% of the world’s advanced chips to be made in the United States.
This development is part of the 2022 CHIPS and Science Act, which provides government incentives aimed at boosting domestic chip production to reduce reliance on China and Taiwan. The act has already awarded $23.2 billion in grant awards and up to $17.6 billion in loans to chipmakers including South Korea’s Samsung Electronics, Taiwan Semiconductor Manufacturing Co., Intel, BAE Systems, Microchip Technology, and GlobalFoundries.
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