Micron (Virginia)

Project Summary

The U.S. Department of Commerce has awarded Micron Virginia Semiconductor Manufacturing LLC, a wholly-owned subsidiary of Micron Technology Inc. (“Micron”) direct funding under the CHIPS and Science Act. This funding will enable Micron to expand and modernize its existing chip fabrication facility in Manassas, Virginia to onshore Micron’s 1-alpha DRAM technology. This project will greatly improve supply chain resiliency for automotive and industrial markets, as well as secure capacity of critical legacy memory for aerospace and defense.

Economic and National Security Impact

This investment will help strengthen U.S. economic and national security by bolstering a reliable domestic supply of 1-alpha DRAM chips that are important components for critical technologies such as automotive, personal computing, and aerospace and defense. This project will onshore 1-alpha DRAM technology, which is currently manufactured solely in Asia and create a design center of excellence for aerospace & defense. In addition, Micron’s planned modernization will enable lasting production of legacy memory technology for critical aerospace and defense applications, including NOR, NAND, and DRAM chips.

Micron is widely recognized as a global leader in legacy memory technology and production.  By supporting Micron’s U.S. manufacturing plans, the Department is onshoring the development and production of legacy memory semiconductor technology which is crucial to protecting our economic and national security.

Financial and Commercial Terms

As stated in the CHIPS Notice of Funding Opportunity for Commercial Fabrication Facilities, CHIPS for America will disburse direct funding to Micron for capital expenditures for the project based on the completion of construction, production, and commercial milestones for amounts invested in capital expenditures. The CHIPS Program Office will track the performance of each CHIPS Incentives Award via financial and programmatic reports, in accordance with the award terms and conditions. All CHIPS funding recipients are required to adhere to restrictions pursuant to the CHIPS Act and NOFO regarding stock buybacks, National Security Guardrails, and sharing of intellectual property. The Department and Micron have agreed to certain conditions on buybacks consistent with the terms for the Department’s awards to Micron’s other subsidiaries.