[SINGAPORE] The new supports Micron Technology's plan to produce the sophisticated semiconductors needed for artificial intelligence (AI) applications.
The facility adjacent to the forested Micron's existing factory was announced early in 2025, initially creating 1,400 jobs, increasing to around 3,000.
Production at the plant will begin in 2026, and the American chipmaking giant will be able to increase production of what is known as AI Enabling High Bandwidth Memory (HBM) Chips, according to Sumit Sadana, executive vice president and chief business officer.
The chip contains several layers that allow you to store and process large amounts of data faster, while consuming much less power than traditional chips.
Graphic processing units and other accelerators created by companies such as NVIDIA and AMD enable data centers to handle generated AI workloads.
The HBM market is worth around US$35 billion, but Micron expects to approach US$100 billion by 2030.
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“This is a significant growth in the HBM market and we are planning to expand our capacity to meet the growth expectations we have,” Sadana said in an online briefing on July 2nd.
Micron is expanding Taiwan's existing HBM power output, but its capacity is likely to be used very quickly, and more facilities will be needed to meet the expected demand in the coming years.
“We are rapidly lacking space for facilities in Taiwan, so Singapore's facilities will therefore be extremely important to continue the growth of HBM,” Sadana said.
“We are very excited about the AI opportunity and Singapore certainly plays a strong role to play in the many AI-based innovations we are doing.”
Micron has also announced plans to begin production of HBM chips in the US. However, the Singapore factory will be operating before production begins.
The US top memory chip maker announced a “strategic reorganization” of its business units in April, designed to take advantage of the growth driven by AI, from data centers to devices such as computers and mobile phones.
With the reorganization, the company structure will focus more on the market than on the product.
The four new business units include large hyperscale cloud customers for data center customers and cloud memory business units focused on HBM.
There are independent mobile and client business units, with units for the automotive, industrial and consumer segments.
“This new structure will increase resources to the data center and have end-to-end capabilities that provide AI across all segments,” Sadana said.
He said Singapore will remain the company's main production base for NAND flash memory chips used in solid state drives, USB drives and mobile phones.
NAND made up 22% of Micron's total revenues in the third quarter of 2025 at US$9.3 billion, with data center sales more than doubled year-on-year, marking quarterly records.
Sadana said revenue from Singapore will continue to increase, especially when HBM output begins, saying, “It will be a very positive as we can leverage Singapore for HBM sales, a rapidly increasing, highly valued sales.” The era of the straits
