Micron to sell fab to Texas Instruments
Micron Technology says it has entered into a definitive agreement to sell its 300-mm semiconductor fab in Lehi, Utah to Texas Instruments.
The value for Micron from the sale is $1.5 billion, comprised of $900 million in cash from TI, and approximately USD 600 million in value from select tools and other assets. Micron says it has already sold some of these assets and will retain the remainder to redeploy to its other manufacturing sites or sell to other buyers. TI will offer all Lehi site team members the opportunity to become employees upon the closing of the sale, which is s anticipated to close later this year, and intends to deploy its own technologies at the site. “Micron’s Lehi, Utah, facility has a strong history of technology innovation and leading-edge semiconductor manufacturing,” says Micron President and CEO, Sanjay Mehrotra, in the press release. “We are pleased to have reached an agreement with Texas Instruments as it is an industry leader and truly values the talented Lehi team and the capabilities this site offers to deploy its technology effectively. We are greatly appreciative of the contributions that the Lehi team has made to Micron, as well as the collaboration and engagement Micron has had with the local community.” Micron announced its intent to sell the Lehi facility in March 2021, at the same time the company confirmed plans to end production of 3D XPoint technology and pursue new memory solutions for data centers, enabled by the CXL interconnect. The Lehi fab will be TI's fourth 300-mm fab, joining DMOS6, RFAB1 and soon-to-be-completed RFAB2 in TI's wafer fab manufacturing operations. In addition to its value as a 300-mm fab, the acquisition is a strategic move, as Lehi will start with 65-nm and 45-nm production for the company's analog and embedded processing products and be able to go beyond those nodes as required. "The Lehi fab is a great asset and a great team. We are excited about the engineering experience and technical skills the team brings in ramping and manufacturing advanced semiconductor processes," says Kyle Flessner, TI's senior vice president of technology and manufacturing in a press release from the company.