# Micron and Sandisk Cyclicality Shift

> Memory chip giants Micron and Sandisk may break memory market cycles with new pricing deals.
- Title: Micron and Sandisk Cyclicality Shift · The Motley Fool
- Summary: Memory chip giants Micron and Sandisk may break memory market cycles with new pricing deals. Micron and Sandisk are now using long-term contracts to reduce…
- Keywords: micron, sandisk, memory chips, nand, drum, hbm, pricing deals, finance, money, Cyclicality, Shift, The Motley Fool
- Source: The Motley Fool — https://fool.com/investing/2026/10/16/micron-and-sandisk-have-a-history-of-cyclicality-i
- Author: Keithen Drury
- Published: 2026-10-16T22:05:00+00:00
- Read time: 1 min
- Topics: micron, sandisk, memory chips, nand, drum, hbm, pricing deals, finance, money
## Memory Market Cycles
The memory chip market has a history of being extremely cyclical.
## Sandisk and Micron Stocks
Sandisk (SNDK +3.92%) and Micron (MU +2.77%) face cyclical pricing threats.
## Two Memory Types
DRAM and NAND are the two primary memory chip types with different uses.
## NAND Memory Market
NAND memory pricing is driven by supply and demand without significant differentiation.
## Micron's HBM Deal
Micron signed a deal with Nvidia to develop custom HBM for GPUs.
## Long-Term Pricing Agreements
Both companies use contracts to lock in pricing for years, reducing volatility.
## Market Valuation Shift
The market may value Micron and Sandisk more like regular tech stocks now.
## Key takeaway

Micron and Sandisk are now using long-term contracts to reduce memory chip price volatility.