Usman Salis
⬤ Micron Technology (MU) just confirmed it's building a $9.6 billion high-bandwidth memory (HBM) fabrication facility at its Hiroshima location. Construction kicks off in 2026, with the first shipments expected around 2028. The move is all about ramping up HBM production as demand climbs across generative AI, data centers, and high-performance computing applications.
⬤ Japan is chipping in with up to 500 billion yen in subsidies to get this facility off the ground. It's part of the country's push to build up domestic semiconductor manufacturing and reduce dependence on foreign memory suppliers. The timing matters—SK Hynix currently dominates the HBM market, and Micron needs this capacity boost to stay competitive in the race for AI-era components.
⬤ Micron is pushing hard on its HBM roadmap, rolling out HBM3E and prepping next-gen designs for cutting-edge AI accelerators and training systems. With the Hiroshima plant targeted for 2028 production, the company is setting itself up for the next wave of AI infrastructure expansion, where high-bandwidth memory becomes essential for running larger, more efficient AI models.
⬤ For investors, this expansion signals just how critical advanced memory tech has become in the semiconductor sector. As AI infrastructure spending picks up speed, companies with solid HBM capacity could see better pricing power, tighter partnerships with chipmakers, and steadier long-term demand. Japan's financial support shows how governments are now actively shaping the competitive dynamics in the global AI hardware supply chain.
Usman Salis
