Micron's Price Hike: AI Fuels Memory Chip Surge

2025-03-31
Micron's Price Hike: AI Fuels Memory Chip Surge

Micron Technology has announced price increases for DRAM and NAND flash memory, citing robust demand in the coming years. This price hike, expected to last through 2026, is driven by soaring demand from AI, data centers, and consumer electronics, coupled with supply constraints. A key driver is the surging demand for High Bandwidth Memory (HBM), crucial for AI accelerators and next-gen GPUs, fueled by advancements from Nvidia, AMD, and Intel. Micron is investing $7 billion in a new HBM assembly facility in Singapore to meet this demand. The resurgence of the PC and smartphone markets further bolsters memory demand, suggesting a sustained upward price trend.