Micron Technology announced its agreement to sell its Lehi, Utah, fab to Texas Instruments – for $1.5 billion.
The transaction to sell the semiconductor manufacturing unit comprised of $900 million in cash from TI, and $600 million in value from select tools and other assets.
Micron said it has sold some of these assets and will retain the remainder to redeploy to its other manufacturing sites or sell to other buyers.
Micron announced its decision to sell the Lehi facility in March 2021. It stopped end production of 3D XPoint technology and pursue new memory solutions for data centers, enabled by the CXL interconnect.
CXL delivers high-performance connectivity between compute, memory and storage, addressing increased customer workload requirements driven by the broad proliferation of artificial intelligence and data analytics.
Micron Technology reported revenue of $7.42 billion for its third quarter of fiscal 2021, which ended June 3, 2021 versus $6.24 billion for the prior quarter and $5.44 billion for the same period last year.
“Micron set multiple market and product revenue records in our third quarter and achieved the largest sequential earnings improvement in our history,” said Micron Technology President and CEO Sanjay Mehrotra.
“Our industry-leading 1α DRAM and 176-layer NAND now represent a meaningful portion of our production, and Micron is in the best position ever to capitalize on the long-term demand trends across the data center, intelligent edge and user devices.”