Micron Technology (MU) on Saturday announced plans to acquire a chip fabrication site in Taiwan from Powerchip Semiconductor Manufacturing Corporation in an all-cash deal worth $1.8B.
The Boise, Idaho-based company said it signed an exclusive letter of intent to buy the P5 fabrication site in Tongluo, Miaoli County, in Taiwan from PSMC.
Once the deal closes in H2 2026, Micron (MU) will take ownership of the P5 site to boost its DRAM production in phases, the company added.
The LOI also seeks to establish a long-term partnership between the duo supporting Micron’s (MU) post-wafer assembly processing and PSMC’s legacy DRAM portfolio.
Micron (MU) expects the acquisition to generate a “meaningful” DRAM wafer output for the company starting in H2 2026.
The deal marks the latest attempt in the company’s ongoing global expansion. On Friday, Micron (MU) began construction of a $100B memory manufacturing complex in New York.