The Boise, Idaho-based chipmaker will use the funding to build a new facility for NAND, according to a company statement. NAND is a replacement for hard disk drive storage with faster access speeds that’s grown in demand with the AI infrastructure build-out.

The new investment will create around 1,600 jobs, and wafer output is scheduled to begin in the second half of 2028, the company said Tuesday.

The global memory market is dominated by Micron and its two South Korean rivals SK Hynix Inc. and Samsung Electronics Co. The three have prioritided production of high-end chips needed to build AI infrastructure and shifted resources away from memory chips for other segments. Since last year, PC firms and smartphone makers have warned about memory chip shortages hurting their businesses.

To mitigate what Micron says is an unprecedented supply crunch, the US company just broke ground on a US$100 billion facility in New York state, and recently announced plans to pay US$1.8 billion for a facility in Taiwan.

In early 2025, Micron announced a US$7 billion investment over the next several years to expand its manufacturing footprint in Singapore to meet demand for advanced memory chips required to train artificial intelligence. The US chipmaker has long relied on Taiwan, Singapore and Japan as its key production bases.