Micron Technology begins semiconductor production in India to meet AI memory demand
News

Micron Technology begins semiconductor production in India to meet AI memory demand

Saturday, February 28, 2026 at 11:44 PM

Micron Technology has commenced semiconductor memory production at its new facility in Gujarat, India. This marks the first major semiconductor plant to go operational under the Indian government's incentive program which supports ten new manufacturing sites across the country. The facility is strategically positioned to address the surging global demand for memory driven by artificial intelligence infrastructure.

Context

On February 28, 2026, Micron Technology officially opened India’s first semiconductor assembly and test facility in Sanand, Gujarat, marking a pivotal shift for the country from software-focused services to hardware manufacturing. The site represents a combined investment of approximately $2.75 billion between Micron and government partners, with the central and state governments providing a combined 70% subsidy. This pioneering facility converts advanced DRAM and NAND wafers from Micron’s global network into finished products to support the surging demand for AI-driven memory and storage. The project moved from groundbreaking to commercial production in less than three years, signaling India's intent to become a global semiconductor hub. Micron expects to assemble and test tens of millions of chips in 2026, with plans to scale production to hundreds of millions in 2027. The facility features over 500,000 square feet of cleanroom space and is projected to create 5,000 direct jobs and 15,000 indirect employment opportunities, reinforcing the resilient supply chain required for the global AI economy.

Related Companies

Micron
Micron
MU
US