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Micron Strikes $1.8 Billion LOI to Buy PSMC’s Taiwan Fab

The exclusive pact leverages an existing 300mm cleanroom in Tongluo to speed a DRAM capacity build near Micron’s Taichung hub.

Overview

  • Micron signed an exclusive letter of intent to acquire PSMC’s P5 Tongluo fabrication site in Taiwan for $1.8 billion in cash.
  • The facility includes a 300,000‑square‑foot 300mm cleanroom designed for advanced memory wafer production.
  • Closing is targeted for calendar Q2 2026 subject to final agreements and required regulatory approvals.
  • Micron plans a phased DRAM ramp after closing with meaningful wafer output expected in the second half of 2027.
  • The move establishes a long‑term processing partnership with PSMC and taps proximity to Micron’s Taichung site, supporting a wider capacity build for AI and data‑center demand.