US memory chip outfit Micron Technology is to build a new $2.75 billion chip assembly and test facility in Gujarat, India, its first factory in the country.
Micron is putting $825 million of its own money into the development, which will see the Indian central government and state of Gujarat coming up with remaining cash, with 50% of the total from New Delhi and the final 20% from the local state.
It was reported earlier this week that India’s Cabinet approved the project ahead of Prime Minister Narendra Modi’s state visit to the US, which kicked off on Wednesday.
Micron said construction of the new facility in Gujarat is expected to begin in 2023 and the first phase of the project will be operational in late 2024.
A second phase of the project is expected to start toward the second half of the decade, it said. The two phases together will create up to 5,000 new direct Micron jobs.
- Reuters with additional editing by Sean O’Meara