AI demand accelerates and hits a capacity bottleneck! Citi: The memory supply shortage is far from over, sees Micron Technology (MU.US) at $1,300.

Zhitong Finance APP has learned that Citi pointed out in its latest research report that it invited Micron Technology (MU.US) Chief Financial Officer Mark Murphy and Director of Investor Relations Jeff Grattan to attend an investor conference in Los Angeles. Overall, Citi believes that as hyperscalers' AI-driven demand continues to accelerate, the market has underestimated the extent to which DRAM/HBM supply may remain persistently tight. At the same time, as the benefits brought by process miniaturization continue to diminish, memory manufacturers must rely on long-cycle greenfield capacity expansion. Therefore, supply of HBM and advanced memory may remain persistently tight through 2027 and 2028.