Micron logo is seen in this illustration taken June 11. Reuters-Yonhap
Micron forecast quarterly profit and revenue well above expectations on Wednesday and said its customers had committed $22 billion to lock in future supply of memory chips, sending its shares surging 12 percent in after-hours trading.
The forecast — and third-quarter results that beat Wall Street estimates — underscore how AI-driven shortages are forcing Micron's large-scale data center customers and other chip buyers to fund capacity, moves that are reshaping the memory market.
Micron, which is the only U.S.-based manufacturer of high-end memory chips used alongside Nvidia's AI processors, has seen demand for these HBM chips far outstrip its production capacity.
"We expect tight conditions to persist beyond calendar 2027 as a result of AI-driven demand across all segments coupled with structural supply constraints," Micron CEO Sanjay Mehrotra said in the company's prepared remarks. Micron's stock has surged more than threefold this year, despite a 13 percent plunge on Tuesday as part of a broader selloff.
