Ford signs long-term chip supply deal with Micron, following GM

GlobalData

Tue, July 7, 2026 astatine 4:29 AM CDT 2 min read

Ford has entered into a semipermanent Strategic Customer Agreement with chipmaker Micron, becoming the 2nd large US carmaker aft General Motors to unafraid specified an statement with the company.

The statement is intended to reenforce supplies of representation and retention components for Ford's adjacent procreation of vehicles.

Micron said it is raising accumulation of cardinal automotive representation products, alongside capableness expansions aimed astatine supporting lengthy merchandise lifecycles and maintaining proviso for important manufacturing programmes.

According to the company, these investments signifier portion of a wider program to grow proviso successful measurement with increasing planetary request for representation and retention products, portion besides supporting the automotive assemblage and US infrastructure.

Ford Motor Company president and CEO Jim Farley said: "Producing the high-volume vehicles of the aboriginal successful the US volition necessitate a resilient proviso chain. We applaud Micron's committedness to manufacturing successful America, expanding its home accumulation and investing successful a skilled workforce."

Micron has said that the woody is backed by its ongoing concern to grow and localise proviso for automotive customers, including precocious DRAM manufacturing successful Manassas, Virginia.

The institution said its $2bn upgrade of the Manassas fabrication plant, wherever accumulation started earlier this year, is designed to enactment extended merchandise cycles, amended proviso visibility and assistance support continuity of products utilized crossed the automotive industry.

Micron Technology chairman, president and CEO Sanjay Mehrotra added: "As vehicles go much intelligent and data-intensive, the value of precocious representation and retention continues to grow, making collaboration and semipermanent proviso progressively important.

"Through proviso assurance, heavy exertion collaboration, and continued concern successful manufacturing capacity, we are helping alteration consistent, semipermanent enactment for Ford's next-generation conveyance accumulation arsenic request for precocious representation continues to grow."

Micron's agreement with GM besides goes further than existing proviso arrangements, with the 2 companies continuing to enactment unneurotic connected representation and retention technologies for aboriginal conveyance programmes.