Wall Street Unconcerned About Threat to Micron From China's ChangXin Memory
Micron Technology (NASDAQ:MU) saw its stock rise by over 3% in premarket trading as the broader market rallied, with Nasdaq and S&P futures also gaining. This came alongside a major development involving ChangXin Memory Technologies (CXMT), China's leading DRAM manufacturer, which made an impressive debut on the stock exchange. CXMT raised $8.55 billion through its IPO at 8.66 yuan per share, with its shares surging over 531% to value it at around 3.68 trillion yuan—making it China's most valuable listed company. Analysts believe that while CXMT may challenge Micron in the commodity DRAM market, Micron is better positioned in the high-bandwidth memory (HBM) segment used for AI data centers. Morningstar analysts predict CXMT’s global DRAM share could reach 10% by 2026. However, experts like Milk Road AI's Melvin argue that CXMT lags at least one generation behind Micron in HBM technology and does not currently pose a significant threat to its AI memory business.
Topics: AI infrastructure China's tech industry memory chips Micron Technology