Microchip Technology in Arizona

Microchip Technology Incorporated is a publicly traded semiconductor company whose executive offices are at 2355 West Chandler Boulevard in Chandler, where, as of March 31, 2026, it owned and used a campus of about 720,000 square feet for executive offices, wafer probe, an R&D center, sales and marketing. It no longer makes wafers in Arizona: manufacturing at its Tempe Fab 2 ended in May 2025, and as of August 6, 2026 the sale of that site was still part of the company's ongoing evaluation of restructuring activities. Its strategic focus includes general purpose and specialized mixed-signal microcontrollers, microprocessors, analog, FPGA, data center, networking and memory products. In fiscal 2026, the year that ended March 31, 2026, mixed-signal microcontrollers and their development systems accounted for about 50.0% of net sales, analog products for about 28.2%, and other products and services for about 21.8%. Worldwide net sales were $4,713.1 million that year. The company was incorporated in Delaware on February 14, 1989, went public on March 19, 1993, and trades on NASDAQ under the symbol MCHP.

Microchip designs chips and makes part of them in its own factories. In fiscal 2026 about 35% of its sales came from products made at its own wafer fabs in the U.S. and about 65% from products made at outside foundries. In Arizona, the Chandler campus is listed for wafer probe and an R&D center, along with offices, sales and marketing; the filing lists no wafer fabrication there and does not say which products are designed in Chandler. Its AI role is company-wide. Microchip says its Data Center Solutions unit, which it says makes products only for data centers such as storage controllers and PCIe switches [not independently verified], generated $302.7 million in revenue in calendar 2025, and the company expects the unit to grow by about 65% in calendar 2026 to about $500 million; no later update on that projection after June 2026 was found. On September 21, 2026 Microchip completed its acquisition of Hailo, a provider of accelerated edge AI processors, vision processors, robotics processors and AI software. Arizona AI found no statement tying the data center or Hailo work to an Arizona site, so it does not attribute that work to Chandler.

The City of Chandler says Microchip's history in Chandler dates back to the 1970s, when the operation was the microelectronics division of General Instrument, and gives 1987 as the founding year; the company itself gives 1989 as its year of incorporation. In its fiscal 1997 annual report, Microchip described its Chandler headquarters, R&D center and one of its wafer fabs as three buildings totaling about 242,000 square feet on a 77-acre parcel. On April 7, 2003 it announced the closure of that Chandler wafer fab, Fab 1, and moved some of its staff and processes to its Tempe fab, Fab 2; the move was completed by June 30, 2003 and cut 207 jobs. As of March 31, 2026 Microchip owned and used about 720,000 square feet at the Chandler campus. The City of Chandler puts its Chandler workforce at about 1,700 on an undated page, and the Arizona Republic reported that it employed 2,333 people in Arizona in 2024, before the Tempe closure. Microchip's fiscal 2026 annual report gives a worldwide workforce of about 17,900. Its filings give no Arizona headcount.

Microchip's second Arizona site, Fab 2 at 1200 S. 52nd Street in Tempe, produced 8-inch wafers, mainly on 0.25 to 1.0 micron processes. On December 2, 2024 Microchip announced it would close manufacturing there, expecting the action to affect about 500 employees and to save about $90 million a year; Microchip repeated the savings estimate in March 2025, and no later report of the savings actually achieved was found [not independently verified]. On March 3, 2025 Microchip filed a state notice of intent to lay off 330 people at the Tempe facility, as reported by the Arizona Republic, the same day it announced worldwide headcount cuts of about 2,000 employees; Microchip's Form 8-K gives no Arizona share, and its fiscal 2026 annual report says the worldwide reduction was completed in the first quarter of fiscal 2026 [not independently verified]. On March 20, 2025 it hired Macquarie Group to market and sell the site. Manufacturing ended in May 2025. On October 29, 2025 Microchip filed another state notice cutting 63 jobs at the Tempe fab, according to the Phoenix Business Journal; the reports do not say whether those 63 are among the 330. Microchip says it closed the fab because of high inventory and ample capacity at its other fabs, and, in its quarterly report for the period ended June 30, 2026, that all of the processes run in Tempe will move to its Fab 4 and Fab 5, which are in Gresham, Oregon and Colorado Springs, Colorado [not independently verified]. The company recorded $21.8 million in Tempe closure costs in fiscal 2026 and a further $2.9 million in the quarter ended June 30, 2026. The 388,100 square foot Tempe property was classified as held for sale as of March 31, 2026, and as of August 6, 2026 Microchip's guidance still excluded any gains or charges from a sale. Arizona AI found no announced buyer, price or closing date.

Microchip says its Switchtec Gen 6 family is the industry's first PCIe Gen 6 switches made on a 3 nm process, supporting up to 160 lanes for AI system connectivity. It says Data Center Solutions revenue in the March 2026 quarter rose 62.9% from a year earlier, and that the Hailo products add AI accelerators and vision processors for computer vision, transformer-based models, multimodal workloads and video analytics. Company-wide net sales for the quarter ended June 30, 2026 were $1.485 billion, up 38.0% from $1.076 billion a year earlier. Research and development spending was $1.09 billion in fiscal 2026, or 23.0% of net sales, and the filing does not say how much of that is spent in Chandler. Microchip announced that its MASTERs technical training conference, in its 26th year, would take place August 10-13, 2026 at the JW Marriott Desert Ridge Resort & Spa in Phoenix; a report confirming that the 2026 event took place was not found [not independently verified].

Steve Sanghi was named CEO and President on an interim basis on November 18, 2024 and permanently on July 2, 2025, while remaining Chair of the Board. On August 17, 2024 Microchip detected potentially suspicious activity in its IT systems, and the incident left some of its manufacturing facilities operating at less than normal levels and affected its ability to fill orders; its filings do not say which facilities were affected. Microchip later said the unauthorized party obtained information including employee contact information and some encrypted and hashed passwords [not independently verified]. In the quarter ended June 30, 2026 it recorded a $16.0 million charge for legal contingencies, without naming the matters. The filing estimates possible further liability of about $15.0 million beyond amounts accrued [not independently verified]. In January 2024 the National Institute of Standards and Technology announced about $162 million in proposed CHIPS Act funding for Microchip, split between about $90 million for a fab in Colorado Springs and about $72 million for a fab in Gresham, Oregon. None of that proposed funding was for an Arizona site. The proposal was a non-binding preliminary memorandum of terms; Microchip's fiscal 2025 annual report, filed in May 2025, said negotiations had not concluded, and no final award was found [not independently verified]. Taken together, the facts show a company that keeps its headquarters, wafer probe and R&D center in Chandler but no longer fabricates wafers in Arizona, with its Tempe fab still awaiting a sale.