Micron Accelerates Global Expansion: $9.3 Billion Hiroshima Plant Breaks Ground, AI Memory Capacity Targets 2028

BlockBeats News, July 5 – Micron Technology is fully advancing its global capacity expansion to address severe shortages of AI-driven HBM, DRAM, and NAND memory. The company expects supply constraints to persist beyond 2026, with new capacity gradually coming online starting in 2027, supported by significant investments. Key developments include: U.S. Investments: - Virginia: The Manassas plant achieved 1α nm process mass production in May 2026. A $2 billion expansion project will quadruple DDR4 wafer supply, focusing on automotive, defense, and industrial sectors, supported by CHIPS Act subsidies. - Idaho: A $50 billion investment in a cutting-edge factory in Boise has broken ground, with the first facility expected to begin production by mid-2027. The company recently expanded its U.S. investment to approximately $200 billion (manufacturing + R&D), including plans for a second fab. - New York: The $100 billion megafab project in Clay is progressing, with plans for multiple wafer fabs targeting large-scale production around 2030. Asian Expansion: - Japan: A groundbreaking ceremony for a ¥1.5 trillion (approximately $9.3 billion) expansion in Hiroshima was held in early July, focusing on high-end HBM and other AI chips, with shipments expected around 2028. The Japanese government is providing substantial subsidies. - Singapore: Construction of a $24 billion advanced NAND wafer fab began in January, with production slated for the second half of 2028. - Taiwan: Acquired Powerchip Semiconductor’s Tongluo wafer fab for $1.8 billion, with DRAM production expected to start in 2027. Micron emphasized that the expansion is primarily aimed at meeting long-term demand and localizing supply chains, rather than significantly increasing consumer-grade supply in the short term. Analysts believe the overall DRAM/NAND shortage is unlikely to ease in the short term, with prices remaining supported. This global expansion is expected to significantly boost Micron's capacity and create tens of thousands of jobs. The company aims to produce approximately 40% of its DRAM in the U.S. by around 2030. Further updates will follow as AI demand continues to evolve.