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Unless your neighbors dog gets a hold of a 9mm!
Just what I needed to read before planning a major non-systems purchase.
I've been told that 8GB is only fine for MacOS and not Windows. Didn't Microsoft get the memo?
“Micron Locks In Historically High Memory Prices For Five YearsBeauHD 4 hours ago | 53 |
| Micron has signed 16 "strategic customer agreements" (SCAs) that include a floor price the company says comes with "a very robust gross margin for Micron, well above our peak quarterly margins in any past cycle." Most of the deals run through 2030 and cover about 40% of Micron's revenue. The Register reports: Micron CEO, president and chairman Sanjay Mehrotra explained the SCAs in prepared remarks delivered during the company's Q3 earnings call. He explained that Micron has signed 16 SCAs, most of them covering 2026 to 2030, and that they involve a commitment to buy a certain quantity of product and pay for it in a pricing band that has a floor and a ceiling price. The floor price covers the historically high gross margins mentioned above, and the ceiling price means those who commit to an SCA are insulated if memory prices go even higher. The CEO said 16 customers have signed SCAs and then explained why it's worth locking into the deals even though they bake in such high margins. "Our customers are recognizing that supply shortages in memory and storage will take considerable time to improve," he said. "Even as we expect industry supply to improve gradually in 2028, we currently do not have line of sight as to when memory supply will be able to catch up with increasing demand." Even massive efforts to build new chip fabs aren't much help, he said, because the increasing complexity of new memory types means it takes longer to build factories -- and when they come online there still won't be enough capacity to build both the high-bandwidth memory needed for AI and other types of NAND and DRAM. "Supply is structurally constrained in its growth and ability to meet industry demand, despite our comprehensive efforts to increase supply," he said. Don't assume that SCAs mean your suppliers get price certainty, because Mehrotra said the deals will account for 40 percent of Micron revenue -- meaning the company is reserving most of its inventory to sell at prices it can negotiate. The CEO did have a little good news in the form of predictions that Micron's DRAM output in 2026 will "grow in the low- to mid-20s percentage range, slightly above our prior outlook." He also revealed that the SCAs see customers pay up front, which helps Micron to fund its fab expansions.” |
I hope this behavior after 5 years bites Micron in the ass.
It's not really micron fault overnight we went ai crazy. They would be crazy not to sell for as high as they can
Taking advantage of a situation is one thing, but locking it in for 5 years when the AI bubble could pop before then is just greed on another level.
AI bubble is not popping. Government around the world want and need it.
Lol, no government needs it or wants it. They just want to rake in the money by creating the bubble. It's a rug pull on the grandest scale. The U.S. government wants it because if it fails, it's too big to fail, and they'll force the people to bail it out. No risk, all reward. People are too blind or dumb to do anything about it. There's a small few who will likely push back on the datacenters, or destroy them and be deemed domestic terrorists.
You mean like it did in Iran?
It was worth every penny, I bet. Thanks for proving my point.
Even if I put the words in quotes, you wouldn't get it. Why you're so sensitive about the deets? Not worth crying over.
I know you don't get it, and it's alright. AI, a eye - in the land of the blind, the one-eyed man is king.
Never claimed that, either. Just like your replies, it's just people claiming something that isn't what it is.
Well, I can't very well call it "AI that isn't really AI bubble" that's going to pop. Nor would I call the "Housing bubble" the "US Subprime Mortgage bubble", because people would be like, wuut?
Perhaps better lock-in the price range before memory competition starts to heat up globally and eroding the margin? Ok this time is different, like most experts always say
Probably depends on the U.S. midterm elections. The push for AI is very much entrenched politically.
Doubt so, while CXMT is doing an IPO right now and will explode fast, they are already a major player right now:
