Micron CEO warns of ongoing shortage

Micron CEO Sanjay Mehrotra told investors that demand for the company's memory will exceed available supply over the next couple of years, continuing the current shortage.

“Overall, supply-demand environment is only getting tighter”

AI and servers consuming capacity

Micron's high-bandwidth memory for AI and DRAM for servers are prioritized in manufacturing, limiting the memory supply available for consumer devices like PCs and phones.

New factories won't solve it quickly

Micron plans to open new clean rooms for memory manufacturing in twenty twenty-eight, but CEO Mehrotra expects supply to remain limited even after production begins.

“Even after they are built, even after first wafer output, production ramps up only gradually in the clean rooms”

Twenty twenty-seven already sold out

Seventy-five percent of Micron's memory output for twenty twenty-seven is already accounted for. Most current sales discussions focus on twenty twenty-eight, with HBM prices much higher than twenty twenty-six.

“For 2027, a large part of the volume is already sold out for 2027 for HBM, and the prices are much higher than 2026 prices”

Samsung confirms tighter capacity

Samsung EVP Kim Taewoo said high-bandwidth memory will account for almost thirty percent of DRAM manufacturers' wafer capacity in twenty twenty-seven, up from twenty percent this year, limiting consumer DRAM production.

Consumer prices already rising

Micron's Crucial brand stopped selling consumer RAM in December twenty twenty-five. The shortage has raised costs for prebuilt PCs, pushed OEMs to offer lower RAM at higher prices, and increased costs for smartphones, streaming sticks, and gaming consoles.