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Micron to Buy PSMC’s Taiwan Fab for $1.8 Billion as Powerchip Shares Surge

The deal positions Micron to add Taiwan cleanroom capacity on a 2026–2027 timetable.

Overview

  • Micron signed an exclusive letter of intent to acquire Powerchip’s P5 site in Tongluo, Taiwan, for $1.8 billion.
  • The acquisition covers a 300mm cleanroom of about 300,000 square feet that Micron plans to equip and ramp in phases.
  • Closing is targeted by the second quarter of 2026 pending final agreements and regulatory approvals.
  • Micron projects meaningful DRAM wafer output from the site beginning in the second half of 2027, with operational synergies near its Taichung facility.
  • The LOI includes a long-term partnership for Micron’s post‑wafer assembly processing, and Powerchip’s shares rose nearly 10 percent following the announcement; third‑party capacity estimates circulating in tech media remain unverified.