Micron Technology is expected to receive roughly $1.5 billion in financial incentives from the Japanese government to help it manufacture advanced-process memory chips, according to a new report.
Micron Technology Inc. (MU) is expected to receive about $1.5 billion in financial incentives from the Japanese government to help it make advanced-process memory chips, according to a new report.
Bloomberg News reported late Wednesday that the deal could be announced on Thursday, when Japanese Prime Minister Fumio Kishida will meet with a group of tech executives, including Micron Chief Executive Officer Sanjay Mehrotra.
Boise, Idaho-based Micron Technology will use the funds to upgrade its plant in Hiroshima, Japan, to make next-generation DRAM chips, Bloomberg reported.
Bloomberg said the effort was aimed at boosting Japan’s domestic semiconductor industry amid growing tensions between the U.S. and China, and seeking a backup plan designed to be used if Taiwan’s chip production is disrupted.
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Micron Technology Inc. (MU) is expected to receive about $1.5 billion in financial incentives from the Japanese government to help it make advanced-process memory chips, according to a new report.
Bloomberg News reported late Wednesday that the deal could be announced on Thursday, when Japanese Prime Minister Fumio Kishida will meet with a group of tech executives, including Micron Chief Executive Officer Sanjay Mehrotra.
Boise, Idaho-based Micron Technology will use the funds to upgrade its plant in Hiroshima, Japan, to make next-generation DRAM chips, Bloomberg reported.
Bloomberg said the effort was aimed at boosting Japan’s domestic semiconductor industry amid growing tensions between the U.S. and China, and seeking a backup plan designed to be used if Taiwan’s chip production is disrupted.
Micron has invested more than $13 billion in Japan since 2013, according to Bloomberg.
Micron shares have soared 30% so far this year, but are still down 8.6% over the past 12 months.
(This article is translated from MarketWatch. MarketWatch is operated by Dow Jones, the parent company of The Wall Street Journal, but MarketWatch is independent of Dow Jones Newswires and The Wall Street Journal.)