Micron Technology, Inc. is set to receive a repackaged economic development incentive package from the state of Virginia to support its expansion in Manassas. The package, which was approved by a General Assembly oversight commission, includes approximately $46 million in unspent financial incentives from a previous agreement with Micron in 2018. The new package, similar in size to the current incentive deal, will primarily rely on state funds that are already in escrow but have not yet been spent. The goal of the incentives is to bring a new line of semiconductor chip manufacturing from Taiwan to Micron's production plant in Manassas. The company has exceeded performance targets for capital investment and payroll, but has fallen short in creating new jobs. Micron attributes this job shortfall to the impact of the COVID-19 pandemic on global manufacturing supply chains. As part of its expansion plans, Micron has submitted an application for federal grants under the CHIPS + Science Act to expand and modernize production of DRAM computer chips at the Manassas plant. The proposed expansion would not only enhance the plant's manufacturing operation and workforce, but also introduce a new line of memory chips that are expected to have a lifespan of 15 to 20 years. This repackaged incentive package also provides an opportunity for the state of Virginia to revise the terms of the agreement, which previously required Micron to meet job, payroll, and capital investment targets in exchange for upfront incentive funds. [1e7016e7] [06643fa7]
An electronics manufacturer in O’Fallon, Missouri, called MEMC, LLC, is set to receive part of a $400 million investment from the federal government to boost its production of wafers used in semiconductors. The investment comes through the federal CHIPS and Science Act, approved in 2022. MEMC, a subsidiary of Taiwan-based GlobalWafers, will use the funds to acquire equipment and ramp up operations. The facility currently produces 200-millimeter silicon-on-insulator wafers and a low-volume pilot run of 300-millimeter silicon-on-insulator wafers. MEMC plans to hire over 100 additional employees to add to its current workforce of 350. The investment is seen as a positive development for O’Fallon, which is referred to as a 'silicon prairie' due to its growing tech industry. The funding for MEMC adds to other major investments recently made in the area by companies like Boeing, General Motors, and the National Geospatial-Intelligence Agency. [40264c15]