The U.S. Department of Commerce has committed up to $275 million to support Micron Technology’s expansion of its semiconductor facility in Manassas. The move aims to strengthen domestic manufacturing and secure critical supply chains. The funding comes as part of the U.S. Department of Commerce’s CHIPS Incentives Program, which seeks to revitalize American leadership in chip production.
Micron’s plans call for a $2 billion investment over several years to enhance its production capabilities with 1-alpha technology, a sophisticated process for creating DRAM memory chips used in sectors like automotive and industrial manufacturing. At its peak, the project is expected to create over 400 direct jobs and as many as 2,700 related positions.
“Memory chips are at the core of modern technologies,” said Commerce Secretary Gina Raimondo. “This investment will help rebuild U.S. capacity while securing vital economic and national security interests.”
The Manassas project aligns with Micron’s broader plan to expand U.S. semiconductor manufacturing. Under the CHIPS Incentives Program, Micron has also received up to $6.7 billion for its operations in Idaho and New York. These investments are expected to generate about 20,000 jobs nationwide and increase the U.S. share of advanced memory production to 10% by 2035.
Expanding Domestic Semiconductor Manufacturing
Micron’s project is part of a broader push to increase domestic semiconductor production. In addition to the Manassas site, the company has received up to $6.165 billion for operations in New York and Idaho. These efforts aim to raise the U.S. share of advanced memory manufacturing from less than 2% to 10% by 2035, creating tens of thousands of jobs nationwide.
The expansion will introduce Micron’s advanced 1-alpha process, which improves chip density and efficiency. The Manassas plant’s production will focus on DRAM chips, a key component for systems in industries ranging from artificial intelligence to communications.
“As the only U.S.-based memory producer, Micron is uniquely positioned to lead this charge,” said Sanjay Mehrotra, the company’s chief executive. “Our investments will support innovation and economic growth while ensuring supply chain stability.”
Legacy DRAM chips from Manassas will support stability in automotive and industrial supply chains.
Economic Impact
The CHIPS for America program has allocated over $25 billion to projects across 21 states, with private sector investments exceeding $450 billion.
Virginia’s role in the semiconductor push highlights its growing importance as a technology hub. Governor Glenn Youngkin (R) and other state officials have championed initiatives to attract high-tech industries. The Micron expansion represents one of the
largest recent investments in the state’s manufacturing sector.
Youngkin, who attended a Dale City Red Cross grand opening on Monday, December 9, 2024, told reporters, “Virginia is open for business. We’re growing like crazy and have more job creation than we’ve ever had in the state’s history. We’ve got more people working than in the history of the state. I just want everyone to know that Virginia is thriving. We have lots of opportunities for folks, and you can build a tremendous life here to live, work, and raise your family.” Youngkin added, “Virginia has 250,000 jobs available right now for Virginians to take.”
“The fact that they’re taking that $6.1 billion investment from the U.S. 2022 CHIPS and Science Act and $275 million to expand the Manassas plant means they’re here for a while,” Manassas City Councilwoman Theresa Coates Ellis told Potomac Local News.
Micron Declines Purchase Option for Ballfields
Children playing baseball at the Greater Manassas Baseball League (GMBL) fields can sigh relief. Micron Technologies has chosen not to exercise its option to purchase the six baseball fields on 18 acres of city parkland. This decision means the league will continue to operate at its current location, next to the Micron facility at Route 28 and Godwin Drive.
The purchase option expired in October. The land had been earmarked for possible office expansion to accommodate the company’s continued growth following its $3 billion investment in 2018 to establish a global automotive chip manufacturing hub.
Under the 2021 agreement, Micron paid the city $250,000 to secure the purchase option. The decision to decline marks a shift from earlier expectations that the fields would be repurposed for commercial development, leaving local officials scrambling to find an alternative location for the league.
GMBL serves about 600 children and teens who play baseball six days a week, spring through fall.
The city’s leaders had promised to work with neighboring Prince William County to find a new site for the league but never finalized a new site. However, a housing development project outside the city, Kline Farm, had been considered.
Micron’s decision to pass on the purchase option comes amid its significant investments in other locations, including $6.1 billion in U.S. CHIPS and Science Act funds to expand facilities in Boise, Idaho, and New York. Despite these expansions, the company has left the GMBL fields intact, signaling its commitment to balancing growth with community needs.
Micron has been manufacturing memory chips in Manassas since 2002 and employs 1,700 people there. During that time, Micron invested heavily in the Manassas facility, injecting billions into expanding its operations over the last several years. It is the only U.S.-based computer chip manufacturer that makes DRAM chipsets fully in the country.
