MarketWatch reports Micron may increase production of memory for AI
Micron Technology, according to MarketWatch, may be expanding its manufacturing capacity to produce a more profitable type of memory. This product is in high demand due to the development of artificial intelligence, the publication notes.
Balance of supply and demand
As MarketWatch writes, Micron and other memory manufacturers must simultaneously meet customer needs and avoid an oversupply of products. Such a situation is possible if demand for their chips begins to decline.
The publication notes that supply on the market is currently very limited. Under these conditions, companies need to take into account both the current high demand and the risk that the market situation may change.
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Analyst assessment
One analyst sees a “significant opportunity” for Micron to benefit from expanding its manufacturing capacity. MarketWatch cites a new report indicating that the company is increasing capacity specifically to produce this more profitable type of memory.
The article does not specify the scale of the possible expansion, the timeline for its implementation, or the specific type of memory. The available part of the publication also provides no details of the new report cited by the outlet.