Overview
- Micron reported a record fiscal Q3 with roughly $41.5 billion in revenue, gross margins near 85%, and guidance around $50 billion for the next quarter driven by strong demand for high‑bandwidth memory (HBM).
- A class‑action complaint filed on June 25 accuses Micron, Samsung and SK Hynix of coordinating cuts to older DDR3/DDR4 output to push customers toward higher‑priced HBM, creating new legal and regulatory risk for the three dominant suppliers.
- Micron said its HBM capacity is sold out through 2026 and disclosed multiple multi‑year, take‑or‑pay style customer contracts that lock in volumes and price floors and boost near‑term revenue visibility.
- The company also announced a long‑term supply agreement with General Motors on July 1 to secure automotive memory and storage, a move that supports Micron’s U.S. fab investments but coincided with sharp stock volatility and mixed analyst reactions.
- Large capex plans from Samsung and SK Hynix and growing Chinese DRAM capacity pose a risk of added supply in 2027–2028, yet advanced HBM scale‑up takes years and EUV restrictions limit near‑term Chinese competitiveness, leaving outcomes dependent on multi‑year capacity buildouts and legal reviews.