Taiwan’s AU Optronics Corp. deepened its restructuring efforts by selling another idle plant to Micron Technology Inc., marking the panel maker’s latest move to streamline operations after posting annual losses.
The Taiwanese display manufacturer agreed to sell its AUO Crystal facility in Taichung, central Taiwan, for NT$3.75 billion (US$114.4 million). The deal follows AUO’s earlier sale of manufacturing assets to the US memory chipmaker in 2024, reflecting the ongoing consolidation in Taiwan’s technology sector.
AUO Chairman Paul Peng indicated that the company plans to exit the solar monocrystalline business in 2025, retaining only semiconductor operations. The sold facility will continue operating under a two-year lease agreement before transferring to Micron in 2027.
The transaction comes as AUO grapples with financial challenges. Despite booking NT$280.25 billion in 2024 revenue, up 13% from the previous year, the company recorded a net loss of NT$3.06 billion, with a basic loss per share of NT$0.4. The company managed to return to profitability in the fourth quarter, though this was largely attributed to non-operating gains from asset sales rather than operational improvements.
For Micron, the acquisition aligns with its strategy to expand manufacturing presence in Taiwan, particularly in high-bandwidth memory production. The US memory giant has been actively acquiring industrial properties in Taiwan, including a NT$7.4 billion purchase of AUO facilities in 2024.
The deal underscores the broader trend of semiconductor companies acquiring idle capacity from display manufacturers as they seek to expand production capabilities in key Asian markets.
