Boise, Idaho, Tuesday, April 23, 2024 – Chipmaker Micron Technology may receive more than $6 billion in government funding to support domestic semiconductor production, according to a report filed by Bloomberg.1
The exact nature and timing of the announcement remain undisclosed, but the report suggested it could be imminent.
This potential influx of funds would be a significant boost for Micron, a major player in the global semiconductor industry. The company has previously advocated for government support to strengthen domestic chip production and counter-reliance on overseas manufacturing.
It should also be noted that this comes at a time when US chipmakers are facing a headwind due to Chinese chipmakers making breakthroughs and ramping up their chip manufacturing. China went into turbo mode following US sanctions on US Chipmakers supplying chips to China and banning sensitive Chinese electronic products like Huawei and ZTE.
In addition, the global chip shortage has underscored the importance of domestic semiconductor production for various industries, from consumer electronics to national security.
Governments around the world have implemented measures to incentivize chip manufacturing within their borders.
Micron, headquartered in Boise, Idaho, is one of several American chipmakers expected to benefit from these initiatives. The company has already announced plans to invest tens of billions of dollars in new chip fabrication facilities in the U.S.
News of the potential $6 billion grant comes amid a backdrop of ongoing supply chain challenges and geopolitical tensions that have disrupted the global semiconductor market.
- bloomberg.com: https://www.bloomberg.com/news/articles/2024-04-17/micron-mu-to-get-over-6-billion-in-chips-act-grants-in-announcement-next-week[↩]
