Micron to invest up to $100 billion to build a ‘megafab’ in Clay, New York

Micron Technology Inc. announced Tuesday plans to invest up to $100 billion over the next 20 years to build the U.S.’s largest semiconductor fabrication facility in central New York. The memory chip company’s stock surged 4.4% in morning trading, and has run up 10.0% amid a three-day win streak. Micron said the new “megafab” in Clay, New York will create nearly 50,000 jobs in New York, including about 9,000 Micron jobs. The first-phase investment of $20 billion is planned by the end of the decade. The company said the plan comes with $5.5 billion in incentives from the state of New York along with expected federal grants and tax credits from the Chips and Science Act of 2022, which was signed into law by President Joe Biden in August. “This historic leading-edge memory megafab in Central New York will deliver benefits beyond the semiconductor industry by strengthening U.S. technology leadership as well as economic and national security, driving American innovation and competitiveness for decades to come,” said Micron Chief Executive Sanjay Mehrotra. The stock has tumbled 42.0% year to date, while the PHLX Semiconductor Index has shed 36.9% and the S&P 500 has lost 20.7%.

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