Wednesday, November 16th 2022
![Micron](https://tpucdn.com/images/news/micron-v1723816949774.png)
Micron Announces Further Actions to Address Market Conditions
Micron Technology, Inc., today announced that in response to market conditions, the company is reducing DRAM and NAND wafer starts by approximately 20% versus fiscal fourth quarter 2022. These reductions will be made across all technology nodes where Micron has meaningful output. Micron is also working toward additional capex cuts. In calendar 2023, Micron now expects its year-on-year bit supply growth to be negative for DRAM, and in the single-digit percentage range for NAND.
Recently, the market outlook for calendar 2023 has weakened. In order to significantly improve total inventory in the supply chain, Micron believes that in calendar 2023, year-on-year DRAM bit supply will need to shrink and NAND bit supply growth will need to be significantly lower than previous estimates. "Micron is taking bold and aggressive steps to reduce bit supply growth to limit the size of our inventory. We will continue to monitor industry conditions and make further adjustments as needed," said Micron President and CEO Sanjay Mehrotra. "Despite the near-term cyclical challenges, we remain confident in the secular demand drivers for our markets, and in the long term, expect memory and storage revenue growth to outpace that of the rest of the semiconductor industry."
Source:
Micron
Recently, the market outlook for calendar 2023 has weakened. In order to significantly improve total inventory in the supply chain, Micron believes that in calendar 2023, year-on-year DRAM bit supply will need to shrink and NAND bit supply growth will need to be significantly lower than previous estimates. "Micron is taking bold and aggressive steps to reduce bit supply growth to limit the size of our inventory. We will continue to monitor industry conditions and make further adjustments as needed," said Micron President and CEO Sanjay Mehrotra. "Despite the near-term cyclical challenges, we remain confident in the secular demand drivers for our markets, and in the long term, expect memory and storage revenue growth to outpace that of the rest of the semiconductor industry."
17 Comments on Micron Announces Further Actions to Address Market Conditions
wish the chinese would get into the RAM game, just to turn up the heat on the market.
"Reduce production. Everyone must pay too much for things. Otherwise, people will get used to paying less and buying more things."
"You are truly the wisest of us all."
Also, both NAND and DRAM are cheap right now (excluding DDR5). It's possible there's a redux of the price fixing cartel going on, but I don't think that's what's happening here.
This would be the third or fourth time time this has happened. That's a clear pattern.
Whatever happened to digital inclusion programmes and making technology accessible to all anyway? It's almost like both the industry and lawmakers decided that we've had enough inclusion, enough freedom of speech, etc.
I thought a few months ago everyone including their grandma was building new fabs!!
Don't you dare lower your prices!