Micron To Invest Up To $100B In Central New York Megafab

In what will be the largest private investment in New York state history, Micron Technology, Inc. plans to build the largest semiconductor fabrication facility in U.S. history. Micron is among the world’s largest semiconductor companies and is the only U.S.-based manufacturer of memory. The Central New York megafab will increase domestic supply of leading-edge memory and create nearly 50,000 jobs, including approximately 9,000 Micron jobs at the Onondaga County operation.

Micron intends to invest up to $100 billion over the next 20-plus years to construct the new megafab in Clay, NY, with the first phase investment of $20 billion planned by the end of this decade. The project will complement Micron’s previously announced high-volume manufacturing fab in Boise, ID. Micron will design, build and operate the facility in accordance with its sustainability goals. The site could eventually include four 600,000 square foot cleanrooms, for a total of 2.4 million square feet of cleanroom space – the size of approximately 40 U.S. football fields.

Micron’s New York megafab is part of the company’s strategy to gradually increase its American-made leading-edge DRAM production to 40% of  global output over the next decade. Site preparation work will start in 2023, construction will begin in 2024 and production output will ramp in the latter half of the decade, gradually increasing in line with industry demand trends. Locating Micron’s industry-leading DRAM production in the U.S. brings tremendous benefits for its customers, enabling them to build their products and solutions using a more resilient, secure and geographically diverse supply chain.

“I am grateful to President Biden and his Administration for making the CHIPS and Science Act a priority, to Senator Schumer and a bipartisan coalition in Congress for passing the legislation, and to Governor Hochul and County Executive McMahon for the local and state partnerships that made this investment possible. Micron will leverage the diverse, highly educated and skilled talent in New York as we look to build our workforce in the Empire State,” said Micron President and CEO Sanjay Mehrotra. “This historic leading-edge memory megafab in Central New York will deliver benefits beyond the semiconductor industry by strengthening U.S. technology leadership as well as economic and national security, driving American innovation and competitiveness for decades to come.”

Micron’s new megafab will make New York the location of the largest leading-edge memory site in the U.S. Micron selected the Onondaga County site based on multiple advantages including leading higher education institutions, access to talent traditionally underrepresented in technology jobs, quality of life, good local schools, and a significant military population aligned with Micron’s commitment to veteran hiring. The area also offers availability of water and clean, reliable power to enable a project of this scale while achieving the company’s long-term environmental goals. New York also has a long history of semiconductor development and manufacturing, which provides opportunities to collaborate on R&D initiatives with organizations like the Albany NanoTech Complex and the U.S. Air Force Research Laboratory.

Micron New YorkGovernor Kathy Hochul

“Micron’s $100 billion investment in New York marks the start of something transformative in scale and possibility for our state’s economic future,” said Governor Kathy Hochul. “I promised that we would jump start the economy by being the most business-friendly and worker-friendly state in the nation, and thanks to our State Green CHIPS legislation, the federal CHIPS and Science Act, and extraordinary partnerships with business, labor, and local and federal leaders, this project will do exactly that. Together, we are leveraging this investment – the largest private-sector investment in state history – to secure our economic future, solidify New York’s standing as a global manufacturing hub, and usher the state into another Industrial Revolution.”

State, Local Agencies Support Micron’s Growth In New York

Empire State Development (ESD) has offered Micron a package of performance-based incentives up to $5.5 billion in Green CHIPS Excelsior tax credits over two phases over 20 years. These targeted incentives are directly tied to Micron creating 9,000 new jobs, investing $100 billion, and meeting Green CHIPS community benefits package and sustainability standards. The agreement also includes a commitment by New York State to invest $200 million for necessary road and other infrastructure improvements surrounding the campus, and $100 million in funding for community benefits as part of the $500 million Green CHIPS Community Fund. In addition, the New York Power Authority (NYPA) Board of Trustees will review a power allocation award from NYPA’s low-cost ReCharge NY power program at a future public meeting.

The Onondaga County Industrial Development Agency and Micron will enter into a 49-year PILOT (Payment in Lieu of Taxes) agreement and abatement of state and local sales tax on construction expenses. The Onondaga County Department of Water and Environment Protection and the Onondaga County Water Authority will make necessary water and wastewater infrastructure improvements over the project lifecycle to support the project and surrounding community.

Onondaga County will provide a $5 million façade grant; a $10 million investment in conjunction with Syracuse University to establish a semiconductor research and development initiative to be located at the Syracuse Center of Excellence; a $5 million workforce sustainability grant to be disbursed over 10 years to help fund local skills development for Onondaga County residents, in partnership with local institutions such as Onondaga Community College; and a $5 million workforce attraction grant to assist with hiring during the initial project ramp-up.

Micron New YorkGovernor Kathy Hochul, Micron President and CEO Sanjay Mehrotra and Senate Majority Leader Charles “Chuck” Schumer celebrate Micron’s announcement to grow in New York.

“After years of work, it’s official—Micron is coming to Central New York! With the CHIPS and Science bill, I wrote and championed as the fuse, Micron’s $100 billion investment in Upstate New York will fundamentally transform the region into a global hub for manufacturing and bring tens of thousands of good-paying high-tech and construction jobs to Central New York,” said Senate Majority Leader Charles Schumer. “This project is a dramatic turning point for a region that has faced decades of lost manufacturing jobs, and, in combination with New York’s already robust microchip industry from the Hudson Valley, Albany, and the Mohawk Valley to Binghamton, Rochester, and Buffalo, it will put Upstate New York on the map in a way we haven’t seen in generations.

Historic Community, Workforce Development Investment

Together, Micron and New York will make a historic $500 million investment in community and workforce development with a focus on disadvantaged populations over the duration of the project. Micron will invest $250 million over the next 20-plus years as part of the company’s commitment to the Green CHIPS Community Investment Fund. An additional $250 million is expected to be invested, with $100 million from ESD and $150 million from local, other state and national partners.

Aimed at expanding and preparing the workforce in the region and providing additional support for disadvantaged community populations, the fund will be used for workforce training, education programs, housing and other community investments. Micron will work with the state and other partners to form a local Community Advisory Committee to provide inputs into additional future investments from the Fund.

“Micron decided on New York State because of the tireless work at every level of government to make our state a place where companies such as Micron want to locate and grow,” said ESD President, CEO and Commissioner Hope Knight. “I want to thank Governor Hochul for her leadership, especially on the passage of the State’s Green CHIPS program, and for her advocacy for the passage of the federal CHIPS and Science Act. For decades, we have been slowly regaining ground in the transition from traditional manufacturing to advanced manufacturing, and Micron’s decision to locate in the Central New York Region is the momentum we need to succeed.”

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