Micron Technology, one of the largest memory suppliers globally, has issued a forecast indicating potential challenges in the global RAM supply. In their recent earnings report, CEO Sanjay Mehrotra mentioned that “tight industry conditions” in the DRAM and NAND flash memory sectors are anticipated to continue through 2026, primarily driven by increased demand from artificial intelligence (AI) applications.
The company reported record revenue of $13.64 billion for the recent quarter, a rise from $8.71 billion during the same period last year. This increase is attributed to the growing demand for high-bandwidth memory (HBM) from major tech firms like OpenAI, Meta, Microsoft, and Google as they enhance their data centers with advanced chip technology.
Mehrotra noted that plans for AI data center expansions among customers have significantly increased the demand forecast for memory and storage. However, he also stated that supply constraints are likely to be persistent, potentially impacting PC shipments in the upcoming year. Micron has expressed concerns about being unable to meet the widespread demand across various market segments.
To address this gap, Micron plans to increase its production output, aiming for a 20% rise in shipments of DRAM and NAND flash memory next year. Despite these efforts, executives have indicated that the planned increases may still fall short of overall demand. Additionally, Micron is preparing to initiate production at a new manufacturing facility in Idaho in 2027, with another plant planned for New York by 2030.
Source: https://www.theverge.com/news/847344/micron-ram-memory-shortage-2026-earnings