Industry News: Micron announced the end of mobile NAND development

Micron said the decision only affects the development of global mobile NAND products, and the company will continue to develop and support other NAND solutions, such as SSDs and NAND solutions for automotive and other end markets.

Micron will also continue to develop and support the global mobile DRAM market with an industry-leading portfolio of DRAM products.

In recent years, as major technology companies have increased their investment in AI data centers, semiconductor manufacturers such as Micron have seen a surge in orders for high-bandwidth memory (HBM) chips due to their powerful data processing capabilities.

The company now expects quarterly revenue of $11.2 billion, with a fluctuation of $100 million, compared with its previous forecast of $10.7 billion, with a fluctuation of $300 million.

Micron also raised its fourth-quarter adjusted gross margin forecast to 44.5%, with a fluctuation of 0.5 percentage points, up from its previous forecast of 42%, with a fluctuation of 1 percentage points.

The revised forecast reflects improved pricing, particularly for dynamic random access memory (DRAM) products.

“We’re focused on all of our different end markets around the world, and pricing trends have been very strong,” Micron Chief Business Officer Sumit Sadana said at an industry conference on Monday. “We’ ve been very successful in raising prices.”

eMarketer analyst Jacob Bourne noted that supply constraints in HBM production and strong demand for artificial intelligence have enabled Micron to set higher prices for its products, marking a break from historically low profit margins for memory chipmakers.

In June, Micron announced plans to increase its investment in the United States by $30 billion, bringing its total investment to $200 billion.