Breaking News
Investing Pro 0
NEW! Get Actionable Insights with InvestingPro+ Try 7 Days Free

This Chipmaker Plans To Invest $100B In New York To Create Cutting Edge Memory Tech — And 50,000 Jobs

Stock Markets Oct 05, 2022 03:10
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters This Chipmaker Plans To Invest $100B In New York To Create Cutting Edge Memory Tech — And 50,000 Jobs
 
MU
+2.41%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
MUTC34
+2.60%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

U.S.-based chip-manufacturer Micron Technology, Inc. (NASDAQ: NASDAQ:MU) has plans to invest up to $100 billion over the next 20 years to construct a new mega fab in Clay, New York, with the first phase investment of $20 billion planned by the end of this decade.

The new factory will increase the domestic supply of leading-edge memory and create nearly 50,000 New York jobs, including approximately 9,000 high-paying Micron jobs, it said in a statement.

Read Also: How To Buy Micron Technology, Inc. (MU) Stock

Strategy: Micron’s New York mega fab is part of its strategy to gradually increase American-made leading-edge DRAM production to 40% of the company’s global output over the next decade. The company said site preparation work will start in 2023, construction will begin in 2024 and production output will ramp in the latter half of the decade.

Micron said the $5.5 billion in incentives from the state of New York alongside anticipated federal grants and tax credits from the CHIPS and Science Act are critical to support hiring and capital investment.

Why It Matters: The move comes after President Joe Biden signed the CHIPS and Science Act in August, which provides $52.7 billion in subsidies for U.S. semiconductor production and research to increase competitiveness with China, reported Reuters.

Brookfield Infrastructure is investing up to $15 billion for a 49% stake in Intel (NASDAQ:INTC) Corporation’s (NASDAQ: INTC) manufacturing expansion at its Ocotillo campus in Chandler, Arizona.

Price Action: Shares of Micron closed 4.3% higher at $53.96 on Tuesday, before rising 0.06% in extended trading, according to data from Benzinga Pro.

The stock has outperformed the market over the past 10 years on an annualized basis.

Read Next: Micron Technology Earnings Were 'Materially Worse' Than Expected: 6 Analysts Comment

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

This Chipmaker Plans To Invest $100B In New York To Create Cutting Edge Memory Tech — And 50,000 Jobs
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email