Funding to support development of memory vendor's $125B fab expansion in New York and Idaho

American memory vendor Micron will receive $6.1 billion in CHIPS Act funding under a deal finalized by the US Commerce Department on Tuesday.

The funding, first teased in April, pulls from the $39 billion in CHIPS cash set aside to support the development of domestic fabs. In the case of Micron, the subsidies will support the development of fab facilities in New York worth $100 billion and Idaho valued at $25 billion. Micron plans to invest roughly $50 billion by the end of the decade.

According to the release, the expansion is expected to create 20,000 jobs over its lifetime and help to grow the US' share of advanced memory manufacturing from less than 2 percent today to 10 percent by 2035.

In particular, high bandwidth memory (HBM) has become a key market amid the AI boom. HBM is a key component in modern AI accelerators including Nvidia ...