Micron Technology is taking a more pragmatic approach to its operations in China, aligning its strategy with Chinese government expectations while navigating US technology restrictions. The company's shift includes increased market engagement and investment commitments, marking a departure from its previous low-profile stance.
State-backed industry showcase
At the annual IC China 2024 conference on November 18, Micron executives joined representatives from AMD and Qualcomm in delivering keynote presentations. The event, organized by Chinese state entities, featured prominent local companies including Huawei and IC design firms Loongson and Black Sesame. As IC China positions itself as a state-backed alternative to the internationally organized SEMICON China, notable players Intel, Nvidia, and SMIC maintained a minimal presence.
New leadership drives market re-engagement
Since she was appointed General Manager of Micron China in May 2023, Betty Wu has transformed the company's approach from a cautious distance to active engagement with Chinese stakeholders. Her tenure has been marked by frequent public appearances and progress updates on the Xi'an manufacturing facility, signaling efforts to improve Micron's standing with Chinese authorities.
Revenue recovery efforts
The company's fiscal 2022 revenue from China reached US$3.31 billion, representing 10.76% of its total US$30.76 billion revenue - a significant decline from 2018's 58% market share. This drop followed Chinese government restrictions on Micron products over stated security concerns through the Cyberspace Administration of China.
Strategic investment and expansion
In March 2024, Micron President and CEO Sanjay Mehrotra visited China to discuss business operations and investment plans, emphasizing compliance with local regulations. Wu has highlighted China's position as one of Micron's largest global markets, noting the company's CNY11 billion (US$1.52 billion) investment in the Xi'an facility. The plant, scheduled to begin production in the second half of 2025, will primarily serve local market demand.
Academic partnerships and market presence
Wu has strengthened academic collaboration, visiting the School of Integrated Circuits at Peking University and the Department of Electronic Engineering at Tsinghua University in Beijing. These visits included senior executives Cher Whee Sim, Vice President of People Strategy, Technology, and Talent Acquisition, and Jackson Teng, Manager of Human Resources Business Partner at Micron.
During the November China International Import Expo in Shanghai, Wu spoke with state media representatives, presenting Micron's comprehensive portfolio across data centers, consumer electronics, mobile applications, automotive, and smart edge computing sectors. The company maintains operations across major Chinese technology hubs including Xi'an, Shanghai, Beijing, and Shenzhen.
