Micron to spend $150 billion in 10 years on building out memory manufacturing, stock falls


Shares of Micron Technology Inc.
MU,
+0.46%

fell 1.3% in premarket buying and selling Wednesday, after the memory and semiconductor firm stated it can make investments $150 billion over the subsequent decade in memory manufacturing and analysis and growth. The funding, which may embrace U.S. fab growth, is geared toward addressing demand for memory, as memory and storage at the moment symbolize about 30% of the semiconductor market. “Memory is at the leading edge of semiconductor manufacturing and fuels everything from feature-rich 5G smartphones to the AI-enabled cloud,” stated Chief Executive Sanjay Mehrotra. “Micron’s leadership in both DRAM and NAND technologies and the strength of our roadmap enable us to invest more than $150 billion with confidence to extend our industry-leading memory innovation into the next decade, and deliver differentiated products to our customers.” Micron’s stock has dropped 10.1% yr to date whereas the PHLX Semiconductor Index
SOX,
+1.28%

has climbed 21.0% and the S&P 500
SPX,
+0.74%

has superior 20.3%.



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