Micron Technology, a major American memory manufacturer, plans to produce the most advanced (next-generation) DRAM products in Guangshima factory in Japan, and the Japanese government announced that it will provide supplementary investment and resea...
Micron Technology, a major American memory manufacturer, plans to produce the most advanced (next-generation) DRAM products in Guangshima factory in Japan, and the Japanese government announced that it will provide supplementary investment and research and development for Guangshima factory equipment, with a maximum subsidy of 536 billion yen.
Microtron stock price hit a new high. Micron rose 4.42% on the 12th and closed at $157.23, setting a new record for its historical closing.
According to comprehensive Japanese media reports, the Ministry of Economic Industry of Japan announced on the 12th that it will invest in equipment and develop up to 536 billion Japanese dollars in Micron's equipment during the five-year period ended in 2029, helping Guangshi factory to produce the most advanced DRAM products used in AI, automatic driving and other uses.
Microtron plans to invest 1.5 trillion daily round-in production before the end of 2029 (before the end of March 2030), and will expand the production capacity of the equipment and the construction of 40,000 pieces of the most advanced products per month, and will start shipping from June to August 2028 and produce with the maximum capacity from March to May 2030.
Among the above-mentioned equipment investment plan of Micron (1.5 trillion yen), the province will provide a maximum subsidy of one-third (500 billion yen), and will provide a maximum subsidy of 36 billion yen for Micron's next-generation DRAM, which is approximately half of the R&D costs required by Micron.
The conditions for Micron to obtain the above-mentioned supplementary needs include: 1. It must continue to produce for more than 10 years after starting mass production, 2. When supply and demand are tight due to factors such as infectious disease expansion, it will increase production in response to the Japanese government's request.
The province has provided 46.5 billion yen and 192.0 billion yen to Micron Island Factory in 2022 and 2023 respectively. With this additional subsidy, the amount of supplement to the Guangdong Island Factory will be expanded to 774.5 billion yen.
In order to ensure the mass production capacity of the first-class semiconductor, the Province of Industry has provided supplementary provisions to Taiwan Electric Kumamoto Factory and Kioxia Siji Industrial Factory.
