Dec 10 (Reuters) - The U.S. Department of Commerce has
finalized a subsidy of more than $6.1 billion for memory chip
maker Micron Technology ( MU ) to support the construction of
several domestic semiconductor facilities, according to a White
House statement on Tuesday.
The investment, unchanged from the amount originally
announced in April, marks one of the largest government awards
to chip companies under the U.S. CHIPS and Science Act.
It will fund factory projects in New York and Idaho and is
expected to create at least 20,000 jobs by the end of the
decade.
The commerce department and Micron have also agreed to
preliminary terms for an additional investment of
$275 million to expand the chipmaker's facility in Manassas,
Virginia, which primarily manufactures chips sold in the
automotive, networking and industrial markets.
The additional investment will help "onshore a critical
technology relied upon by our defense industry, automotive
sector and national security community", the White House said.
President Joe Biden's administration has doubled down on
fueling domestic semiconductor production, seeking to reduce
reliance on China and Taiwan. The U.S. has finalized a series of
subsidies, including a $7.86 billion award for Intel and $6.6
billion for Taiwan Semiconductor Manufacturing Co's ( TSM )
U.S. unit.
The final awards come just weeks before President-elect
Donald Trump, who has criticized the program, takes office.