The Shocking Similarity Between Micron and Nvidia as AI Turns Memory Into a Goldmine
247wallst.com May 3, 2026

The Shocking Similarity Between Micron and Nvidia as AI Turns Memory Into a Goldmine

AI-summarised brief · reviewed before publication

Micron Technology has seen a significant increase in gross margins, reaching 74.4% in fiscal Q2 2026, due to high demand for high-bandwidth memory used in AI applications. This shift has turned memory from a cyclical commodity into a high-margin bottleneck, with Micron benefiting from its position as one of three companies producing high-bandwidth memory at scale. The company's margins now resemble those of software businesses, with a rich product mix and pricing power.

💡 Why It Matters

  • · Micron's newfound profitability hinges on its ability to supply high-bandwidth memory to hyperscalers building out AI infrastructure.
  • · With the Big 4 hyperscalers planning $710 billion in capital expenditures, demand for this memory is likely to remain elevated, driving Micron's growth.