Micron warns global memory chip shortage will persist beyond 2026

May 22, 2026, 5:52:13 PM UTC(1 hour ago)

Impact: Medium

Affected Assets

Micron CEO Sanjay Mehrotra confirmed that tight industry conditions across DRAM and NAND flash memory are expected to persist through and beyond 2026 due to surging artificial intelligence infrastructure demand
The company has systematically reallocated manufacturing capacity toward high-bandwidth memory chips used in AI accelerators, leaving consumer-grade DRAM and NAND flash in critically short supply
Wall Street analysts from J.P. Morgan and Morningstar expect the supply tightness to extend well into 2027 as major tech companies compete for limited wafer capacity
Micron has increased its capital expenditure plans to 20 billion dollars to ramp up investments, but executives note they are still unable to meet demand across all market segments
The severe shortage has driven Micron stock to record highs, surging nearly 40 percent in a single week in May 2026 amid the worsening global supply crunch

$MU - MICRON CEO SEES MEMORY CHIP SHORTAGE LASTING BEYOND 2026