Micron CEO once again insinuates Apple: Low-cost procurement is the key cause of memory shortages

Glonghui, July 2 | According to market sources, Micron Technology, the semiconductor company that has become a new favorite on Wall Street due to a memory chip shortage, is taking strong action against its long-standing clients. Micron Technology CEO Sanjay Mehrotra recently stated that over the past few years, some clients had demanded that memory manufacturers lower their prices, which brought about some negative impacts. In 2023, Micron’s prices dropped to just one-third of previous levels, resulting in an inability to invest in new production capacity. He revealed that the significant price reductions imposed by certain clients on the memory industry are an important reason for the current widespread memory shortage. It is expected that the storage shortage issue may continue until 2027 or even longer, as fabs take years to build and next-generation memory production processes are even more complex. Micron’s veiled criticism is widely perceived as being directed at its major client Apple, although Mehrotra did not mention Apple by name.