TechieTwo This is your typical manipulation of consumer expectations for excess profits. Keep telling them the shortage will exist even when it's unlikely unless intentionally created. Reply
usertests TechieTwo said: This is your typical manipulation of consumer expectations for excess profits. Keep telling them the shortage will exist even when it's unlikely unless intentionally created. Most consumers do not know a Micron, much less pay attention to earnings calls. This is a convenient-for-Micron story about infinite demand being told because going against the grain would unnecessarily hurt the stock price, and the execs may have to tighten their belts and purchase less fancy wines, cars, golden parachutes, etc. Reply
Tanakoi Jame5 said: The call is coming from inside the house. The people who want to make as much profit as possible are the ones deciding whether or not to increase manufacturing capacity. Every memory maker on the planet is rapidly building new capacity at the fastest pace in history. But $20B fabs takes several years to bring online. How quickly people forget it was just 2023 when RAM oversupply caused memory makers to lose billions due to massive oversupply. Reply
Tanakoi usertests said: This is a convenient-for-Micron story about infinite demand being told because going against the grain would unnecessarily hurt the stock price, and the execs may have to tighten their belts and purchase less fancy wines, cars, golden parachutes, etc. I find it an astonishing tribute to human psychology how people are able to rationalize their own security beliefs. Memory prices are high because every fab that exists is working double-shift overtime and selling every chip they can produce months or even years into the future. And – other than a few disgruntled videogamers – pretty much everyone understands this demand is real, and not some convenient fiction cooked up in Micron and Samsung boardrooms. Reply
hotaru251 “We do not have line of sight to when supply and demand will return to balance.” they have a line of sight….but it benefits them to ignore that because scarcity is making them more profit and expanding production more (which they could do) costs money and eventually when boom is over they dont get used. can't wait for boom to end and memory becomes dirt cheap the likes we havent seen before due to the used market because frick the corpo Reply
Bigshrimp It's the end of the PC market as far as I can tell. They are pulling the ladder up and making people pay out the nose for parts that are inflated in price on purpose. It's all unregulated avarice and is not sustainable. Even the enterprise market will run out of money eventually, after the giant Ponzi scheme collapses. Reply
alan.campbell99 Prioritising HBM, most of which is paired with Nvidia AI chips, which are largely being prepurchased and largely end up sitting in warehouses because the 'warm shells' aren't available. If a good chunk of these are effectively obsolete before they can be installed and cannot be otherwise repurposed then this could be a spectacular waste. Reply
Tanakoi Bigshrimp said: It's the end of the PC market as far as I can tell. The sky isn't falling. PC sales were up the first two quarters of 2026, and even the most pessimistic assumptions for the last half of the year are for only a 10% decline. Bigshrimp said: They are pulling the ladder up and making people pay out the nose for parts that are inflated in price on purpose. No matter how we whine and stamp our feet, we can't change the laws of economics. When demand exceeds supply, there are only two possibilities — either prices rise, or the shelves run bare. Take your pick. Reply
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/pc-components/dram/SPONSORED_LINK_URL
- https://www.tomshardware.com/pc-components/dram/micron-projects-tightening-ram-shortages-through-2028-as-it-generates-record-profit-record-86-25-percent-gross-margin-drives-over-usd53-billion-in-quarterly-profit#main
- https://www.tomshardware.com/membership
- OpenAI’s Jalapeño ASICs are deployed alongside AMD EPYC ‘Turin’ CPUs as hosts, not Nvidia's Vera
- Micron now has an 88% margin on consumer memory as price hikes drive profits
- Grab an $80 discount on this TP-Link Wi-Fi 7 router with five 2.5G Ethernet ports, now $169.99
- Grab this 10-port gigabit PoE+ switch with up to 60W of power for under $38, a new record low
- The price of AI is crashing faster than the rate of Moore's Law, report suggests
Informational only. No financial advice. Do your own research.