Micron Technology CEO Sanjay Mehrotra now expects meaningful product shipments from the company’s newly acquired Taiwan fabrication site by mid-2027, moving the timeline forward from previous projections.

The accelerated timeline stems from Micron’s $1.8 billion acquisition of Powerchip Semiconductor Manufacturing Corp’s P5 300mm fabrication site in Tongluo, Miaoli County, Taiwan. That deal closed on March 15, 2026, itself ahead of schedule. The facility comes with roughly 300,000 square feet of cleanroom space that Micron is now retrofitting for advanced DRAM and high-bandwidth memory production.

What Micron is building in Taiwan

Micron’s initial guidance had pointed to meaningful DRAM output in the second half of 2027, with some later updates suggesting a fiscal 2028 ramp-up for full product scale. Mehrotra’s latest comments suggest the company is now confident in hitting the earlier end of that window, with mid-2027 shipments looking realistic.

The Tongluo site isn’t a one-and-done play, either. Micron has announced plans to begin construction of a second facility of comparable scale at the same location by the end of fiscal 2026.

Micron’s cumulative investments in Taiwan now exceed NT$1.2 trillion, and the company employs more than 10,000 local engineers across the island. Mehrotra met with Taiwanese President Lai Ching-te in January 2026, underscoring the strategic depth of the company’s commitment to its Taiwan operations.

Why the timing matters for the memory market

Micron’s main competitors in the memory space, Samsung and SK Hynix, are both scrambling to expand their own HBM capacity. SK Hynix has been the early leader in supplying HBM to Nvidia, but Micron has been steadily closing the gap.

The 300mm fab format is particularly relevant because it’s the standard wafer size for modern semiconductor manufacturing. The P5 fab was already configured for 300mm production, which is part of why Micron could move faster on the retrofit than building from scratch.

What this means for investors

Micron is betting that demand for DRAM and HBM will remain elevated well into the late 2020s, driven primarily by AI infrastructure buildout. The $1.8 billion price tag for the Tongluo acquisition is substantial, and the second planned facility will push total investment at the site even higher.

Getting product out the door by mid-2027 instead of fiscal 2028 means revenue contribution arrives sooner, which could meaningfully impact earnings in the back half of the fiscal year.

The competitive dynamics are also worth watching closely. As Micron brings additional HBM capacity online, its positioning relative to SK Hynix and Samsung in securing design wins with AI chip companies like Nvidia and AMD becomes increasingly important.