Micron Technology Inc. shares perked up in premarket trade Friday, after news that Japan will give the company a subsidy of up to 46.5 billion yen ($320 million) to make advanced memory chips at its Hiroshima plant. The news was announced by Japan’s industry ministry, Reuters reported. It comes after a visit to Japan by U.S. Vice President Kamala Harris and is the latest example of cooperation between Tokyo and Washington in chip manufacturing. “Micron appreciates the support of the Japanese government, and are proud to be a global partner in Japan’s effort to expand semiconductor production and advance innovation,” Micron’s executive vice president of global operations, Manish Bhatia, said in a press release, Reuters reported. The news comes after Micron late Thursday posted quarterly earnings that included a forecast for a loss in the coming quarter and plans to scale back a build out of capacity as it strives to emerge from an “unprecedented” current market downcycle. Shares were up 2.5% premarket, but are down 46% in the year to date, while the S&P 500 has fallen 24%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
0
0