Micron Technology announced on Tuesday that it would invest $40 billion to produce semiconductor chips in the U.S. following the passage of a bill subsidizing the industry.
President Joe Biden on Tuesday signed the plan to allocate $280 billion to foster domestic production of the vital tech component in a bid to compete with China and other countries.
“Today, I sign into law the CHIPS and Science Act,” Biden tweeted. “It’s a once-in-a-generation law that invests in America by supercharging our efforts to make semiconductors here at home.”
Micron said they plan to create 40,000 new jobs in the U.S. with the investment, and to bring the “world’s most advanced memory manufacturing,” according to The Hill.
“This legislation will enable Micron to grow domestic production of memory from less than 2 percent to up to 10 percent of the global market in the next decade, making the U.S. home to the most advanced memory manufacturing and R&D in the world,” said Micron President and CEO Sanjay Mehrotra, per the outlet.
A White House fact sheet released Tuesday noted the current disparity in Sino-American production of the chips. "America invented the semiconductor, but today produces about 10 percent of the world’s supply—and none of the most advanced chips," it stated. "Instead, we rely on East Asia for 75 percent of global production.
Micron previously announced it would build a $20 billion factory in Ohio should Congress pass the subsidies, The Hill reported.