Micron To Shut Shanghai DRAM Design Operations, Relocate Engineers: Report - Micron Technology (NASDAQ:MU)

U.S. memory chip giant Micron Technology Inc MU has confirmed it will close its DRAM design operations in Shanghai by 2022 end, SCMP reports.
Micron looks to ask ~150 Chinese engineers to relocate to the U.S. or India.
Micron, which employs about 43,000 people globally, did not provide a reason for the decision.
The report adds that Micron announced the plan internally last month, citing a "historic loss of technical know-how as some former employees and management were poached by big tech firms in China."
The growing technology rivalry between China and the U.S. also played a role.
Micron has research and development centers in the U.S., Singapore, Japan, Taiwan, Italy, China, India, and Germany.
Micron has previously cited its concern over the government-backed competition in China and warned investors that Beijing's support for domestic DRAM makers could restrict Micron's growth in the market.
Micron currently manufactures DRAMs in Taiwan, Singapore, Japan, the U.S., Malaysia, and China.
Micron's Shanghai team had lost more than a third of its 300 members. With other chip design companies in China poaching its employees with high salaries and stock options, Micron's move to relocate was "unsurprising," the report quoted Chen Rang, a long-time investor, and entrepreneur in China's semiconductor industry.
Price Action: MU shares traded higher by 4.46% at $84.32 on the last check Wednesday.