Overview
- Micron signed an exclusive letter of intent to acquire Powerchip’s P5 site in Tongluo, Taiwan, for $1.8 billion, securing a 300,000-square-foot 300 mm cleanroom.
- The company expects the transaction to close by the second quarter of 2026 subject to final agreements and regulatory approvals.
- Micron plans a phased equipment deployment and ramp, with meaningful DRAM wafer output projected to begin in the second half of 2027.
- The LOI outlines a long-term operational relationship covering Micron’s post‑wafer assembly and support for PSMC’s legacy DRAM, with PSMC saying it will serve as a foundry partner and enhance its specialty DRAM processes.
- Powerchip shares rose nearly 10% in Taipei trading after the announcement, while separate reports citing unnamed sources suggested potential output of about 50,000 12‑inch wafers per month and a 10%–15% annual DRAM uplift, which Micron has not confirmed.